AGENDA
REGULAR MEETING
CYPRESS CITY COUNCIL
February 9, 2026
5:00 P.M. - Closed Session
6:00 P.M. - General Session
www.cypressca.org 5275 Orange Avenue
Cypress, California
If you are interested in speaking during the City Council meeting, details on how to participate are provided on the last page of the agenda.
CALL TO ORDER
5:00 P.M.
Executive Board Room
ROLL CALL
Cypress City Council, also acting as the Ex-Officio Governing Board of Directors of the Cypress Recreation and Park District
Mayor Leo Medrano
Mayor Pro Tem Kyle Chang
Council Member Bonnie Peat
Council Member David Burke
Council Member Rachel Strong Carnahan
ORAL COMMUNICATIONS ON CLOSED SESSION
The public may address the City Council on Closed Session items prior to any action taken. Although Council Members may provide brief responses, the City Council may not engage in a discussion with members of the public during the meeting. Please complete a Speaker's Card to address the City Council in-person.
CLOSED SESSION
PUBLIC EMPLOYEE APPOINTMENT AND CONFERENCE WITH LABOR NEGOTIATOR Pursuant to Government Code Sections 54957 and 54957.6 to discuss appointment, salary, compensation and fringe benefits related to the City Manager candidate.
City Representative: City Attorney Fred Galante
Unrepresented Employee: City Manager
CONFERENCE WITH LEGAL COUNSEL--EXISTING LITIGATION
Pursuant to paragraph (1) of subdivision (d) of Government Code Section 54956.9 Name of case: Frances Marquez v. City of Cypress (U.S.D.C., Southern Div. Case No. 8:24-CV-01835-ODW (JDEx)
RECONVENE
6:00 P.M.
Council Chambers
ROLL CALL
Cypress City Council, also acting as the Ex-Officio Governing Board of Directors of the Cypress Recreation and Park District
Mayor Leo Medrano
Mayor Pro Tem Kyle Chang
Council Member Bonnie Peat
Council Member David Burke
Council Member Rachel Strong Carnahan
INVOCATION
Bishop Peter Bystrom, The Church of Jesus Christ of Latter-Day Saints
PLEDGE OF ALLEGIANCE
A member of the City Council will lead the pledge of allegiance.
REPORT OF CLOSED SESSION
The City Attorney will provide a brief report from closed session.
ORAL COMMUNICATIONS
This portion of the meeting is set aside for public comments regarding any matter within the jurisdiction of the City Council. Comments on non-agenda items will be heard at this time.
Comments related to a specific agenda item will be heard following the staff report for that item and prior to the City Council action, unless the speaker prefers to make the comment during the general public comment period. The City Council cannot discuss or take action on matters not on the agenda for this meeting, but Council members may provide brief responses. Please complete a Speaker’s Card to address the City Council in-person. Please follow the instructions at the end of the agenda and wait for the Mayor or City Clerk to call on you to address the City Council virtually. Speakers providing in-person comments will be called first. Time allotted for public comment (subject to change by the presiding officer).
General Public Comment (not on agenda): 3 minutes
Consent Calendar (any or all items): 3 minutes Agenda Items (not on consent calendar): 3 minutes per item February 9, 2026 | Page 2
CONSENT CALENDAR
All matters listed on the Consent Calendar are to be approved with one motion unless a Council Member requests separate action on a specific item. Council Members voting no or abstaining on a Consent Calendar item may do so without removing the item from the Consent Calendar.
1. Approve Minutes of City Council Meetings held on December 8, 2025 and December 19, 2025
Prepared by: Lisa Berglund, City Clerk
Recommendation: Approve as submitted.
2. Second Reading of an Ordinance Amending Chapter 2 (Administration), Article X (Campaign Finance Reporting) of the Cypress Municipal Code by Adding New Sections 2-128.1 and 2-128.2 Establishing a Local Campaign Contribution Limit and Disclosure of Top Contributors
Prepared by: Lisa Berglund, City Clerk
Recommendation: Conduct Second Reading and Adopt an Ordinance Amending Chapter 2 (Administration), Article X (Campaign Finance Reporting) of the Cypress Municipal Code by Adding New Sections 2-128.1 and 2-128.2 Establishing a Local Campaign Contribution Limit and Disclosure of Top Contributors.
3. Second Reading of an Ordinance Amending Cypress Municipal Code Section 1-13 and Adding Subsections 1-13.1 and 1-13.2 to Regulate Use of the City Seal and Logo
Prepared by: Lisa Berglund, City Clerk
Recommendation: Conduct Second Reading and Adopt an Ordinance Amending Cypress Municipal Code Section 1-13 and Adding Subsections 1-13.1 and 1-13.2 to Regulate Use of the City Seal and Logo.
4. Award Contract for the Police Department Shooting Range Bullet-Trap Replacement, Project 422
Prepared by: Elizabeth Camarena, Management Analyst
Recommendation:
1. Approve Plans and Specifications for the Police Department Shooting Range Bullet-Trap Replacement, Project 422; and
2. Award the attached contract to Hunter Consulting Inc., dba HCI Environmental & Engineering Services for $94,250, and authorize a contingency of $14,130, and authorize the City Manager to execute the same; and
3. Appropriate an additional $52,380 in the Capital Projects Fund for Project 422; and
4. Transfer $52,380 from the Infrastructure Reserve Fund to the Capital Projects Fund for Project 422.
February 9, 2026 | Page 3
5. Award Contracts for Electric Vehicle Charging Stations, Project 428 Prepared by: Nick Mangkalakiri, Director of Public Works Recommendation: Award a contract to ABM Electrical & Lighting Solutions Inc. for $126,648.61, and authorize a contingency of $15,350.
ITEMS REMOVED FROM CONSENT CALENDAR
ITEMS FROM CITY COUNCIL MEMBERS
COUNCIL MEMBER REPORTS FROM CITY-AFFILIATED BOARDS AND COMMITTEES
AND REMARKS
COUNCIL MEMBER ITEMS FOR FUTURE CONSIDERATION
CITY MANAGER REMARKS
ADJOURNMENT
The next meeting will be an adjourned Regular Meeting, to be held on Monday, February 23, 2026, beginning at 5:30 p.m. in the Executive Board Room.
Council Members and the public should promptly exit the meeting room following adjournment.
I, Lisa Berglund, City Clerk, certify under penalty of perjury under the laws of the State of California, that the foregoing Agenda was posted on the City Hall bulletin board and City website not less than 72 hours prior to the meeting. Dated February 4, 2026.
February 9, 2026 | Page 4
PUBLIC PARTICIPATION
Members of the public can participate in the City Council meeting in the following ways:
1. Attend In-Person. First-come, first-served seating is available. All attendees must be free of any symptoms associated with contagious illnesses.
2. Attend Virtually via Webinar. Follow this link:
https://attendee.gotowebinar.com/register/685276572748303449. Advanced registration is recommended.
The public may address the City Council virtually during Oral Communications on Agenda Items and Public Hearings. Virtual participants must click the 'hand raise' button prior to the end of the first in-person speaker to indicate they wish to address the City Council. Upon clicking the 'hand raise' button, please unmute your microphone and wait for the Mayor/City Clerk to call on you. If participants are watching the meeting on television or via live-streaming, please mute other devices prior to speaking.
= Hand Raise = Unmute
3. Submit Public Comments Prior to the Meeting. The public may submit comments via email to [email protected]. Comments submitted by 3:00 p.m. on the day of the meeting will be added to the meeting record.
4. Watch the Meeting. The City Council meeting can be viewed on Spectrum Cable Channel 36 or on the City's website at www.cypressca.org/watchlive.
5. Listen to the Meeting. Listen-only teleconferencing is available by calling (914) 614-3221 and entering Access Code 611-030-651. No registration or audio pin is necessary.
INVOCATION POLICY
The City Council does not endorse the content of the invocation and does not endorse the invocational speaker’s particular faith, belief and/or religious denomination. The City Council has an established neutral policy for selecting and scheduling invocational speakers. The City Council’s policy on invocations is available from the City Clerk.
AMERICANS WITH DISABILITIES ACT
In compliance with the Americans With Disabilities Act, if you need special assistance to participate in this meeting, you should contact the City Clerk at (714) 229-6685 at least 72 hours prior to the meeting to enable the City to make reasonable arrangements to assure accessibility to this meeting.
February 9, 2026 | Page 5
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 1.
FROM: Lisa Berglund, City Clerk
DATE: 02/09/2026
SUBJECT: Approve Minutes of City Council Meetings held on December 8, 2025 and December 19, 2025
RECOMMENDATION
Approve as submitted.
BUDGET IMPACT
None.
LEGAL REVIEW
None.
APPROVED BY: Sean Joyce, Interim City
Manager
Attachments
12/8/2025 Minutes
12/19/2025 Minutes
REGULAR MEETING
CYPRESS CITY COUNCIL
December 8, 2025
5:30 P.M. – Closed Session
6:00 P.M. – General Session
A regular meeting of the Cypress City Council was called to order at 5:00 p.m. by Mayor Burke in the Council Chambers, 5275 Orange Avenue, Cypress, California.
ROLL CALL
Cypress City Council, also acting as the Ex-Officio Governing Board of Directors of the Cypress Recreation and Park District
Mayor David Burke
Mayor Pro Tem Leo Medrano
Council Member Kyle Chang
Council Member Bonnie Peat
Council Member Rachel Strong Carnahan
STAFF PRESENT
Interim City Manager Sean Joyce
City Attorney Fred Galante
City Clerk Lisa Berglund
ORAL COMMUNICATION ON CLOSED SESSION
None.
CLOSED SESSION
The City Attorney announced the following closed session items:
CONFERENCE WITH LEGAL COUNSEL--EXISTING LITIGATION
Pursuant to paragraph (1) of subdivision (d) of Government Code Section 54956.9 Name of case: Frances Marquez v. City of Cypress (U.S.D.C., Southern Div. Case No. 8:24- CV-01835-ODW (JDEx)
Mayor Burke recessed the meeting at 6:00 p.m.
RECONVENE
Mayor Burke reconvened the meeting at 6:19 p.m.
ROLL CALL
Mayor David Burke
Mayor Pro Tem Leo Medrano
Council Member Kyle Chang
Council Member Bonnie Peat
Council Member Rachel Strong Carnahan
STAFF PRESENT
Interim City Manager Sean Joyce
City Clerk Lisa Berglund
City Attorney Fred Galante
Director of Finance and Administrative Services Matt Burton Interim Director of Finance and Administrative Services Steve Charelian Director of Recreation and Community Services Jeff Draper Planning Director Alicia Velasco
Chief of Police Mark Lauderback
Director of Public Works Nick Mangkalakiri
I.T. Manager Adrian Smith
INVOCATION Pastor Mike Mckay, Cypress Neighborhood Church, led the Invocation.
PLEDGE OF ALLEGIANCE Mayor Burke led the Pledge of Allegiance.
REPORT OF CLOSED SESSION
The City Attorney stated that the City Council met in Closed Session on the single item listed on the Closed Session agenda namely, Conference with Legal Counsel – Existing Litigation, title Frances Marquez v. City of Cypress, and related additional defendants, he reported that City Council received an update and no further reportable action was taken.
PRESENTATIONS
The City Council recognized the retirement of Matt Burton, Director of Finance and Administrative Services.
ORAL COMMUNICATIONS
Marilyn Reames, Cypress, expressed opposition to changing the City Council meeting day.
Jose Trinidad Castaneda, Cypress, acknowledged the various changes within the City Council throughout 2025 and shared comments regarding the process for appointing a council member.
Kelly K, Cypress, expressed opposition to changing the City Council meeting day.
CONSENT CALENDAR
All matters listed on the Consent Calendar are to be approved with one motion unless a Council Member requests separate action on a specific item.
Dr. Frances Marquez expressed concern with the hourly rate noted in agreement and recommended that the City go out to bid for these services and further recommended that the City Council establish a planning commission.
Council Member Chang requested to pull item Agenda Item No. 7.
A motion was made by Mayor Burke, and seconded by Mayor Pro Tem Medrano, to approve Consent Calendar items No. 1 through 6.
The motion was carried by the following roll call vote:
AYES: 5 COUNCIL MEMBERS: Chang, Peat, Burke, Medrano, Strong Carnahan ABSTAIN: 0 COUNCIL MEMBERS:
Item No. 1: Introduce and/or Adopt All Ordinances and Resolutions Presented for Consideration by Title Only and to Waive Further Reading Item No. 2: Approve Minutes of the City Council Meetings held on August 25, 2025, October 13, 2025, October 14, 2025 and October 27, 2025 Recommendation: Approve as submitted.
Item No. 3: Receive and File the Investment Report for the Month Ended October 31, 2025
Recommendation: Receive and file the attached investment report.
Item No. 4: Receive and File Register of Warrants, Transfers, and Wires Issued for the Period of October 11, 2025 through November 21, 2025
Recommendation: Receive and file the attached payment register summarized below for the period of October 11, 2025 through November 21, 2025:
Electronic Funds Transfers 18149 through 18349
Warrants 69104 through 69429
Payroll Transfers W1567 through W1569
Item No. 5: Appointment of City Treasurer
Recommendation: Approve the appointment of Donna Mullally, Assistant Director of Finance and Administrative Services/Finance Manager, as Treasurer of the City of Cypress effective December 30, 2025.
Item No. 6: Second Reading of an Ordinance to Lower the Speed Limit on Holder Street
Recommendation: Approve the second reading and adopt an Ordinance by title only and waive further reading, amending Chapter 16 of the Municipal Code lowering the speed limit from 40 to 35 miles per hour on Holder Street, from Lincoln Avenue to Ball Road.
NEW BUSINESS
Item No. 8: City Council Reorganization
The City Clerk provided a report on this item.
Mayor Burke opened the item for public comments.
Brooke Nafarrette, Cypress, spoke in support of Council Member Peat as Mayor and Council Member Rachel Strong Carnahan as Mayor Pro Tem.
Marilyn Reams, Cypress, spoke regarding spoke in support of Council Member Peat as Mayor and Council Member Rachel Strong Carnahan as Mayor Pro Tem.
Paul Kokkinos, Cypress, recognized Mayor Burke for his service as Mayor, encouraged the City Council to move forward in 2026, and wished everyone happy holidays.
Glenn Button, Cypress, spoke in support of Council Member Peat as Mayor and Council Member Rachel Strong Carnahan as Mayor Pro Tem.
Beth Culver, Cypress, expressed opposition to Mayor Pro Tem Medrano serving as Mayor .
Jose Trinidad Castaneda, spoke in support of Council Member Peat as Mayor.
Katie Shapiro, Cypress, complimented Mayor Burke for his leadership as Mayor and expressed support Council Member Chang to serve in a significant role on the City Council., She further congratulated Rachel Strong Carnahan on her appointment.
Kelley K., Cypress, spoke in support of Council Member Peat as Mayor and expressed appreciation for the Christmas letter she received from Mayor Burke.
Mayor Burke opened the nominations for Mayor.
Council Member Peat addressed the item.
Mayor Burke provided background and historical context regarding the Mayor nomination process and nominated Mayor Pro Tem Medrano for the office of Mayor.
Council Member Chang commented that Council Member Peat deserves an opportunity to serve as Mayor but stated he did not believe it would occur this year. He emphasized the importance of collaborative leadership and spoke in support of Mayor Pro Tem Medrano for the office of Mayor.
Council Member Peat responded to Council Member Chang comments and clarified her position and point of view.
It was moved by Mayor Burke, and seconded by Council Member Chang, to nominate Mayor Pro Tem Medrano to the office of Mayor.
The motion was carried by the following roll call vote:
AYES: 4 COUNCIL MEMBERS: Chang, Burke, Medrano, Strong Carnahan NOES: 1 COUNCIL MEMBERS: Peat,
Council Member Burke opened the nominations for Mayor Pro Tem.
It was moved by Mayor Medrano, and seconded by Council Member Strong Carnahan, to nominate Council Member Chang to the office of Mayor Pro Tem.
The motion was unanimously carried by the following roll call vote:
AYES: 5 COUNCIL MEMBERS: Chang, Peat, Medrano, Burke, and Strong Carnahan NOES: 0 COUNCIL MEMBERS: None
The Interim City Manager provided the City Council with the option to recess for refreshments while staff updates the City Council name plates with the City Council’s new titles or continue with the meeting. The City Council chose to continue with the meeting.
Mayor Burke continued with the item removed from the consent Calendar.
ITEMS REMOVED FROM CONSENT CALENDAR
Item No. 7: Approve Amendment No. 5 to the Legal Services Agreement with Rutan & Tucker
Council Member Chang asked questions to the Planning Director on the item.
The Planning Director responded to Council Member Chang’s question.
City Council discussion ensued.
A motion was made by Council Member Chang, and seconded by Mayor Burke, to approve Consent Calendar Item No. 7 as is.
The motion was unanimously carried by the following roll call vote:
AYES: 5 COUNCIL MEMBERS: Chang, Peat, Medrano Burke, and Strong Carnahan NOES: 0 COUNCIL MEMBERS: None
COUNCIL MEMBER REPORTS FROM CITY-AFFILIATED BOARDS AND COMMITTEES
AND REMARKS
Council Member Peat:
Attended the Police VIP Appreciation Luncheon. Participated in the final Community Festival Ad Hoc Committee meeting. Attended the West-Comm Board meeting. Attended a Cub Scouts Pack meeting to assist the Scouts in earning a Citizens Series Belt Loop and attended multiple City meetings, including Special City Council meetings. Reported attending the Buena Park State of the City event. Toured the Ironworkers Training Facility in La Palma and volunteered in support of four military families by donating Christmas gifts, and participated in preparation meeting for the upcoming Strategic Planning session. She also attended the Holiday Open House at Assemblywoman Quirk-Silva’s office, the City’s Holiday Tree Lighting event, and the Vessels PACE graduation. Attended Orange County Sanitation District operations meeting, and the ribbon cutting ceremony for the Cypress College Health and Wellness Building. Had a discussion with an Oxford Academy student regarding a future meeting related to the Future Business Leaders of America program.
Mayor Pro Tem Chang:
Attended Interfaith events and the City’s Holiday Tree Lighting event. Attended the Vessels PACE graduation with Council Member Peat. Attended the grand opening of the Southern California Office of Asian Americans Advancing Justice. Participated in subject matter briefings. Announced that the City is using cellphone usage tracking at which City parks get the most usage. Attended the Sharon Quirk-Silva’s Holiday Open House with Council Member Peat and Mayor Pro Tem Medrano. Attended the Cypress College Health and Wellness Center opening. Attended the Cypress PETA Faculty and Staff Association event and joined the association for a meal ticket and a t-shirt. Attended the Cerritos Chinese School Festival. Attended meetings of the Cypress School District and Cypress City Joint Ad Hoc Subcommittee and provided updates regarding school coordination efforts, including projected student enrollment related to future development, completion of a school bus stop study, expanded buffer zones around schools, potential joint City and School District events, and a possible upcoming food drive.
Council Member Strong Carnahan
Expresssed thanks, expressed enthusiasm about her appointment, and reported engaging with residents and listening to concerns. She noted residents are interested in increasing opportunities for youth involvement in local government and she shared ideas being considered from other cities, such as youth-focused civic engagement programs.
Mayor Pro Tem Medrano:
Provided an update on recent activities, including meeting with Cypress Land executives and City staff. Attended the Police VIP Appreciation Luncheon. Participated in an Interfaith Celebration. Reported attending a memorial service for Sergeant Donald Sowma . Attended a meeting of the Orange County Mosquito and Vector Control District. Attended the City’s Holiday Sing and volunteered at the Kiwanis booth. Attended a holiday event hosted by the Curt Pringle & Associates organization and participated in the ribbon cutting ceremony for the Cypress College Health and Wellness Center. He met with Oxford Academy’s Future Business Leaders of America group to discuss civic engagement, leadership, and government operations, noting increased interest from students in participating in local government. Mayor Pro Tem Medrano thanked City staff, department directors, and the City Manager for their work in preparing the subject matter briefings.
Mayor Burke:
Echoed Council Member Strong Carnahan comment on youth involvement in local government. Commented on how he gave a tour of City Hall to a few of St. Irenaeus students and invited other students from the City to schedule a tour of City Hall with him. Attended the Interfaith event at the Community Center and the City’s Holiday Sing. Participated in the Cypress School District Ad Hoc Subcommittee meeting with Council Member Chang and attended an Orange County Fire Authority Board meeting. Thanked City staff and community partners for organizing and supporting City events, including the Holiday Sing and Interfaith gatherings. Reflected on key accomplishments during his term as Mayor, including public safety improvements, fiscal stability, economic development, increased accessibility and transparency of City Council meetings, and community engagement efforts. Expressed appreciation to City staff, Council colleagues, and residents, and extended holiday wishes and optimism for the City’s future.
COUNCIL MEMBER ITEMS FOR FUTURE CONSIDERATION
Council Member Peat requested to agendize a future discussion regarding the City’s legal services agreement. She noted recent review of the Rutan & Tucker agreement and asked that the City Council consider reviewing the City’s current attorney contract and compensation at a future meeting.
Council Member Chang asked questions of the Interim City Manager about the process for increasing rates.
Council asked questions of the City Attorney. City Attorney Galante shared the history of the Attorney rate in Cypress.
Mayor Pro Tem Chang expressed his desire to wait for the new City Manager to before reviewed the City Attorney contract.
No support was received on Council Member Peat’s request.
CITY MANAGER REMARKS
The Interim City Manager introduced Steve Charelian, who will serve in an interim capacity following the departure of the Finance Director. He noted Mr. Charelian’s prior experience with the City of Manhattan Beach, where he served as Finance Director and Finance Manager, and stated that he will serve until a permanent successor is appointed to ensure continuity of operations.
ADJOURNMENT
Mayor Burke adjourned the meeting at 8:01 p.m. to a Regular Meeting, to be held on Monday, January 12, 2026, beginning at 5:30 p.m. in the Executive Board Room. _______________________________
DAVID BURKE MAYOR
ATTEST:
___________________________________
LISA BERGLUND, CMC, CITY CLERK
SPECIAL MEETING
CYPRESS CITY COUNCIL
December 19, 2025
9:00 A.M.
A special meeting of the Cypress City Council was called to order at 9:00 a.m. by Mayor Medrano in the Executive Board Room at Cypress City Hall, 5275 Orange Avenue, Cypress, California.
ROLL CALL
Cypress City Council, also acting as the Ex-Officio Governing Board of Directors of the Cypress Recreation and Park District were all present.
Mayor Leo Medrano
Mayor Pro Tem Kyle Chang
Council Member Bonnie Peat
Council Member David Burke
Council Member Rachel Strong Carnahan
STAFF PRESENT
Interim City Manager Sean Joyce
City Clerk Lisa Berglund
City Attorney Fred Galante
ORAL COMMUNICATIONS ON CLOSED SESSION
None.
CLOSED SESSION
The City Attorney announced that the City Council would convene in closed session to discuss the following item:
PUBLIC EMPLOYEE APPOINTMENT
Pursuant to Government Code Section 54957
Title: City Manager
REPORT OF CLOSED SESSION/WORKSHOP
The City Attorney reported that the City Council met in Closed Session regarding the item listed on the agenda, namely - Public Employee Appointment pursuant to Government code section 54957, Title: City Manager. He stated the City Council held a discussion on the matter, provided direction and no further reportable action was taken
ADJOURNMENT
Mayor Medrano adjourned the meeting at 10:13 a.m. to an adjourned Regular Meeting, to be held on Monday, January 12, 2026, beginning at 5:30 p.m. in the Executive Board Room.
_______________________________
LEO MEDRANO, MAYOR
ATTEST:
___________________________________
LISA A. BERGLUND, CITY CLERK
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 2.
FROM: Lisa Berglund, City Clerk
DATE: 02/09/2026
SUBJECT: Second Reading of an Ordinance Amending Chapter 2 (Administration), Article X (Campaign Finance Reporting) of the Cypress Municipal Code by Adding New Sections 2-128.1 and 2-128.2 Establishing a Local Campaign Contribution Limit and Disclosure of Top Contributors
RECOMMENDATION
Conduct Second Reading and Adopt an Ordinance Amending Chapter 2 (Administration), Article X (Campaign Finance Reporting) of the Cypress Municipal Code by Adding New Sections 2-128.1 and 2-128.2 Establishing a Local Campaign Contribution Limit and Disclosure of Top Contributors.
SUMMARY
On January 26, the City Council approved the first reading, by title only, of an Ordinance on Campaign Finance Reform. If approved, the ordinance will become effective February 12, 2026.
BUDGET IMPACT
None.
LEGAL REVIEW
The City Attorney prepared the ordinance and reviewed this staff report.
APPROVED BY: Sean Joyce, Interim City
Manager
Attachments
Ordinance Finance Reform
01004.0001 2066402.4
ORDINANCE NO. 1229
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS, CALIFORNIA, AMENDING CHAPTER 2 (ADMINISTRATION), ARTICLE X (CAMPAIGN FINANCE REPORTING) OF THE CYPRESS MUNICIPAL
CODE BY ADDING NEW SECTIONS 2-128.1 AND 2-128.2 ESTABLISHING
A LOCAL CAMPAIGN CONTRIBUTION LIMIT AND DISCLOSURE OF TOP
CONTRIBUTORS
WHEREAS, the California Political Reform Act of 1974 (“Political Reform Act”), Government Code Section 81000, et seq., was amended by the voters in 1988 to impose contribution limitations for statewide offices, and authorized local jurisdictions to enact their own contribution limits or other prohibitions; and
WHEREAS, effective January 1, 2021, AB 571 establishes a default campaign contribution limit and other campaign regulations for cities and counties without local campaign contribution limits, while continuing to authorize counties and cities to establish their own contribution limits for their elective offices; and
WHEREAS, in enacting this Ordinance, the City Council finds and declares that moderate monetary contributions to political campaigns are a legitimate form of participation in the American political process. It is the policy of this City to protect the integrity of the electoral process, and to serve the best interests of the citizens of this City by regulating campaign finance; and
WHEREAS, inherent in the high cost of election campaigning is the problem of improper influence, real or potential, exercised by campaign contributors over elected officials. It is the purpose and intent of the City Council in enacting this Ordinance:
To place realistic and enforceable limits on the amounts of money that may be contributed to political campaigns in city elections.
To preserve an orderly political forum in which individuals may express themselves effectively.
To prevent the exercise by campaign contributors of potential undue or improper influence over elected officials.
To promote participation in government and foster trust that the democratic process is not subverted by affluent special interest groups.
To inform the public of the sources and objects of campaign contributions and expenditures; and
01004.0001 2066402.4
WHEREAS, Cypress Municipal Code Chapter 2, Article X provides for Campaign Finance Reporting, and new Sections 2-128.1 (Limitation on Campaign Contributions) and 2-128.2 (Disclosure of Top Contributors on Independent Expenditure Advertisements) will be added to address campaign contribution amounts and disclosure requirements as well as renaming the Article X to “Campaign Finance Reporting and Contribution Limits”; and WHEREAS, the City Council (the “City Council”) of the City of Cypress (the “City”) now desires to adopt local campaign contribution limits and other campaign regulations as Sections 2- 128.1 and 2-128.2 in Chapter 2, Article X of the Cypress Municipal Code.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF CYPRESS DOES ORDAIN AS FOLLOWS:
SECTION 1. Recitals Incorporated. The City Council hereby specifically finds that all of the facts set forth in the above Recitals are true and correct and incorporated herein as findings of the City Council.
SECTION 2. Amendment. Chapter 2, Article X of the Cypress Municipal Code is hereby revised to rename the title from “CAMPAIGN FINANCE REPORTING” to read “CAMPAIGN FINANCE REPORTING AND CONTRIBUTION LIMITS”.
SECTION 3. Amendment. Chapter 2, Article X of the Cypress Municipal Code is hereby amended to revise Subsection 2-127 entitled “Definitions” and to add two new subsections, Subsection 2-128.1 entitled, “Limitations on Campaign Contributions” and Subsection 2-128.2 entitled “Disclosure of Top Contributors on Independent Expenditure Advertisements:” to read as follows, with all other Subsections of Chapter 2, Article X remaining unmodified and in full force and effect (deleted text shown in strikethrough, added text shown in bold italics):
“2-127 Definitions
The definitions set forth in the Political Reform Act of 1974 as amended (Government Code Section 82000 et seq.) shall govern the interpretation of this article, unless otherwise specified herein.
Whenever the following words are used in this article, they shall be construed as follows:
"Advertisement" means any general or public communication which is authorized and paid for by a committee for the purpose of supporting or opposing a candidate(s) for municipal elective office or a municipal ballot measure(s). A communication that expressly advocates for or against a clearly identified municipal candidate(s) or measure(s), as defined in Government Code Section 82025, supports or opposes a candidate(s) for municipal elective office or a municipal ballot measure(s). Advertisement excludes communications paid for by a candidate or candidate-controlled committee established for elective office for the controlling candidate and communications from an organization to its members other than a communication from a political party to its members. Advertisement includes print and written advertisements, including mass mailings (as defined in Government Code Section 82041.5 and includes email), 01004.0001 2066402.4
newspaper ads, and flyers. This article does not apply to small promotional items such as pens, pencils, mugs, clothing, skywriting or other items where the required disclosures are impracticable or cannot be reasonably printed or displayed in an easily legible typeface. This article does not apply to video or audio advertisements. "Candidate” means any individual who is listed on the ballot, or who has begun to circulate nominating petitions or authorized others to circulate petitions on his or her behalf, for nomination for or election to a city office, or who receives a contribution or makes an expenditure or gives his or her consent for any other person to receive a contribution or make an expenditure with a view to bringing about his or her nomination or election to a city office, whether or not the specific intent to seek nomination or election to the city office is known at the time the contribution is received or the expenditure is made, and whether or not he or she has announced his or her candidacy or filed a declaration of candidacy at that time. "Candidate" also includes any person holding a city office.
"City office” means an elected office of the city, including the city council, or any other office which shall become elective in the future.
"City measure" means a measure or proposition, initiated pursuant to Elections Code §§ 9200 et seq., 9235 et seq., or 9255 et seq., which is intended to be or is being voted on in a city election. "Committee" means any person or combination of persons who, for political purposes relating to a city election, directly or indirectly receive contributions in any forty-eight-month period, or who directly or indirectly makes expenditures in any forty-eight-month period. "Committee" includes controlled committees.
"Contribution" means a (i) payment, a forgiveness of a loan, a payment of a loan or pledge of security for a loan or an enforceable promise to make a payment, by anyone other than a candidate, his or her spouse, or the candidate's parents except to the extent that full and adequate consideration is received, unless it is clear from the surrounding circumstances that it is not made for political purposes; (ii) forgiveness of a debt or other obligation to pay for goods or services rendered, or reduction of the amount of a debt or other obligation to pay for goods or services rendered resulting from a settlement of a claim disputed by the candidate or committee, unless it is clear from the circumstances that the amount of the reduction was reasonably based on a good faith dispute and not for political purposes; and (iii) any expenditure made at the behest of a candidate or controlled committee, unless full and adequate consideration is received by the maker of the expenditure. (1) The term "contribution" shall also include the purchase of tickets for events such as dinners, luncheons, rallies and similar fund-raising events; a candidate's own money or property used on behalf of his or her candidacy; the granting of discounts or rebates not extended to the public generally; the granting of discounts or rebates by television or radio stations or newspapers which are not extended on an equal basis to all candidates for the same office; and the payment of compensation by any person for the rendition of personal services or expenses of any other person, or the rendition of personal services or the payment of expenses by any person, if such services are rendered or expenses incurred on 01004.0001 2066402.4
behalf of a candidate or committee without payment of full and adequate consideration by the candidate or committee.
(2) The term "contribution" shall also include:
(a) The cost of any meeting or fund-raising event held in public or private facilities in honor or on behalf of a candidate or committee having a value of $100 or greater, and
(b) Anything of value provided to or for the benefit of a candidate or committee, but not including volunteer personal or professional services as long as there is no understanding of reimbursement. Volunteer personal services or payments made by a person for his or her own travel expenses even if such payments are made voluntarily without any understanding or agreement that they shall be, directly or indirectly, repaid to him or her having a value of $100 or greater. (3) A contribution is made on the date the payment, forgiveness of debt or loan, expense or donation is actually received or the date when an irrevocable pledge to make a payment, forgive a debt or loan, or incur an expense or make a donation is actually made, whichever is earlier.
"Controlled committee" means a committee which is controlled directly or indirectly by a candidate, or which acts jointly with a candidate in connection with his or her campaign. A candidate controls a committee if he or she, his or her agent, or any other committee he or she controls has a significant influence on the actions or decisions of the committee. "Cumulative contribution" means the cumulative amount of contributions received by a committee beginning twelve (12) months before the date of the expenditure and ending seven (7) days before the time the advertisement is sent to the printer. "Earmarked funds" means any of the following:
(1) The contributor solicited and received the funds from donors for the purpose of making a contribution to the committee paying for the advertisement. (2) The funds were given to the contributor subject to a condition, agreement or understanding with the donor that all or a portion would be used to make a contribution to the committee paying for the advertisement, including the identification of the committee as a potential recipient.
(3) The contributor had existing funds from a donor and a subsequent agreement or understanding was reached with the donor that all or a portion of the funds would be used to contribute to the committee paying for the advertisement, including the identification of the committee as a potential recipient.
(4) The funds were promised, subject to an enforceable promise, to the contributor subject 01004.0001 2066402.4
to a condition, agreement or understanding with the donor that all or a portion would be used to make a contribution to the committee paying for the advertisement, including the identification of the committee as a potential recipient. "Election" means any primary, general or special election held in the city, and includes any recall election.
"Expenditure" means a payment, a forgiveness of a loan, pledge of security for a loan, or a payment of a loan by anyone other than a candidate or his or her spouse, or an enforceable promise to make any of the above, unless it is clear from the surrounding circumstances that it is not made for political purposes. An expenditure is made on the date the payment is made or on the date consideration, if any, is received, whichever is earlier. "Independent expenditure" means any expenditure or donation of anything of value, including the gratuitous rendition of services having a value of $100 or greater, made by any person in connection with a communication which expressly supports or opposes the nomination, election, defeat, or recall of a candidate(s) for city office, city measure(s), or otherwise unambiguously urges a particular result in a city election. An independent expenditure is made on the date the payment is made, services are rendered, or consideration, if any, is received, whichever is earlier. "Payment" means a payment, reimbursement, distribution, transfer, loan, advance, deposit, gift or other rendering of money, property services or anything else of value, whether tangible or intangible.
"Person" means an individual, proprietorship, firm, partnership, joint venture, syndicate, business trust, company, corporation, association, committee, labor union, and any other organized group of persons acting in concert.
"Political Reform Act" shall mean the Political Reform Act of 1974, as amended, Government Code §§ 81000 et seq., as it may be amended from time to time. (Ord. No. 978, § 1, 8-24-98)
"Top contributors" means the persons from whom the committee paying for an advertisement has received its five (5) highest cumulative contributions, provided that each person’s cumulative contributions total at least two thousand five hundred dollars ($2,500.00). If fewer than five (5) persons have made cumulative contributions of two thousand five hundred dollars ($2,500.00) or more, ‘top contributors’ means all such persons. (1) If two (2) or more contributors of identical cumulative amounts qualify as top contributors, the most recent contributor shall be listed before any other top contributor of the same amount in any disclosure required by this article. (2) If a contributor appears to qualify as a top contributor but received earmarked funds to make all or part of the contribution, the person, entity or committee that earmarked the funds and provided the funds to the contributor shall instead be disclosed as the top contributor. The person, entity or committee that transferred earmarked funds shall disclose 01004.0001 2066402.4
the true source of the funds to the committee receiving the earmarked funds at the time the funds are promised or transferred.”
“§ 2-128.1 Limitations on campaign contributions.
(a) No individual, proprietorship, firm, partnership, joint venture, syndicate, business trust, company, corporation, limited liability company, association, committee (including both controlled and independent committees), labor union, or any other organization or group of persons acting in concert shall make to a candidate for elective city office, and no candidate for elective city office shall accept from any such person or entity, campaign contributions totaling more than five hundred dollars ($500.00) per election.
(b) A contribution shall not be considered accepted if it is not negotiated, deposited, or utilized and, in addition, is returned to the donor within fourteen (14) days of receipt. (c) The provisions of this section do not apply to a candidate's contributions of the candidate's personal funds to the candidate’s own campaign. § 2-128.2 Disclosure of Top Contributors on Independent Expenditure Advertisements (a) In addition to required disclosures under the Political Reform Act, any advertisement paid for by a committee shall disclose the names of the top contributors to the committee paying for the advertisement. Following the identification of the committee as required under the Political Reform Act, the advertisement shall disclose the names of the top contributors. If fewer than five (5) contributors qualify as top contributors, only those contributors that qualify shall be disclosed. If no contributors qualify as top contributors, no top contributor disclosure is required. The disclosure shall read: "Major funding by (name and occupation or business interest, and city of residence or principal place of business)," identifying the top contributors to the committee paying for the advertisement.
(b) Notwithstanding Government Code Section 84505, if a top contributor is a committee, the top three (3) contributors who have each made cumulative contributions of at least two thousand five hundred dollars ($2,500.00 ) to that committee shall also be disclosed. (c) Documentation. The following items shall be submitted to the city clerk on the same day the required Fair Political Practices Commission (FPPC) forms in support of the expenditures for the advertisement are filed:
1. A copy of the advertisement subject to this section.
2. If the FPPC forms supporting the disclosures listed on the advertisement are not FPPC forms filed with the city, identification of the jurisdictions with which the forms are filed and a list of forms filed in support of the disclosures. 01004.0001 2066402.4
3. A rebuttable presumption shall apply that the advertisement was sent to the printer on the same date as the expenditure listed on the FPPC form filed for the advertisement. This presumption may be overcome by documentation submitted to the city clerk that the advertisement was sent to the printer on a different date. (d) Disclosures on Print Advertisements.
1. For the purposes of this section, print advertisement shall mean print and written advertisements, including but not limited to, mailers, flyers, door hangers, yard signs, and billboards.
2. A print advertisement designed to be individually distributed, including, but not limited to, mailers, flyers, and door hangers, shall include the disclosures required in this article, displayed as follows:
(i) The disclosure area shall have a solid white background and shall be in a printed or drawn box on the bottom of at least one (1) page that is set apart from any other printed matter. All text in the disclosure area shall be in a contrasting color. (ii) The text shall be in an Arial or Arial-equivalent typeface that is easily legible to an average reader or viewer, with a type size of at least ten (10) points. (iii) The top contributors, if any, shall each be disclosed on a separate horizontal line, in descending order, beginning with the top contributor who made the largest cumulative contributions on the first line. The name of each top contributor shall be centered horizontally in the disclosure area.
3. Notwithstanding subsection (d)(2)(ii), a print advertisement that is larger than those designed to be individually distributed, including, but not limited to, yard signs or billboards, shall include disclosures in Arial or Arial-equivalent typeface with a type size of at least five percent (5%) of the height of the advertisement The disclosure shall appear on a solid background with sufficient contrast to be easily readable by the average person. Each top contributor shall be disclosed either on a separate horizontal line as set forth in subsection (d)(2)(iii) or separated by commas.
4. Exception. If a committee paying for an advertisement has at least one (1) top contributor, as defined by this article, that also qualifies as a top contributor as defined by California Government Code Section 84501(c), as amended, replaced or renumbered from time to time, the committee shall disclose the contributors from whom it has received its five (5) highest cumulative contributions of two thousand five hundred dollars ($2,500.00) or more in the manner required for print and electronic media as set forth in California Government Code Sections 84501, et seq., as amended, replaced or renumbered from time to time. This exception shall not be construed to require disclosure of more than five (5) top contributors.
(e) Enforcement
01004.0001 2066402.4
1. Criminal Enforcement. Any person who knowingly, willfully or negligently violates any provision of Sections 2-128.1 or 2-128.2 is guilty of a misdemeanor. Any person who causes any other person to violate any provision of said Sections 2-128.1 or 2-128.2, or who aids and abets any other person in the violation of any provision of said Sections 2-128.1 or 2-128.2, shall be liable under this Subsection (e). Any monetary penalty for such a violation shall be the maximum amount permitted by law.
2. Civil Enforcement. Any person who intentionally or negligently violates any provision of this article shall be liable in a civil action brought by the city attorney. Where no specific civil penalty is provided, a person may be liable for an amount up to ten thousand dollars ($10,000) for each violation. Upon collection, any such sum shall be deposited into the city’s general fund.
3. Injunctive Relief. The city attorney, or a person residing within the city, may bring an action for injunction relief to enjoin violation of, or to compel compliance with, any provision of this division if the city attorney declines to file such an action. A person other than the city attorney may bring a civil action for violations of this division if the city attorney declines to file a civil action. If a judgment is entered against a defendant in such an action, the private plaintiff shall receive fifty percent (50%) of the amount recovered, and the remaining fifty percent (50%) shall be deposited into the city's general fund. If two (2) or more persons are responsible for any violation of this article, they shall be jointly and severally liable. In determining the amount of liability under this subsection, the court may take into account any mitigating and aggravating factors. No civil action alleging a violation of this article shall be commenced more than two (2) years after the date of the election for which the funds at issue were contributed or expended.”
SECTION 4. Severability. If any section, subsection, sentence, clause, phrase, or portion of this Ordinance, or the application thereof is for any reason held to be invalid or otherwise unenforceable by any court of any competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have enacted each and every section, subsection, sentence, clause, paragraph, or phrase thereof, irrespective of any determination of validity.
SECTION 5. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption.
SECTION 6. Certification. The City Clerk shall certify as to the passage and adoption of this Ordinance and shall cause the same to be published and posted at the designated locations in the City of Cypress.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Cypress at a regular meeting held on the ____ day of February, 2026. _______________________________
David Burke, Mayor
01004.0001 2066402.4
ATTEST:
___________________________________
Lisa Berglund, City Clerk
01004.0001 2066402.4
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
I, LISA BERGLUND, City Clerk of the City of Cypress, DO HEREBY CERTIFY that the foregoing Ordinance was duly adopted at a regular meeting of said City Council held on the _____ day of January, 2026, by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES:COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
___________________________________
Lisa Berglund, City Clerk
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 3.
FROM: Lisa Berglund, City Clerk
DATE: 02/09/2026
SUBJECT: Second Reading of an Ordinance Amending Cypress Municipal Code Section 1-13 and Adding Subsections 1-13.1 and 1-13.2 to Regulate Use of the City Seal and Logo
RECOMMENDATION
Conduct the second reading and adopt an Ordinance Amending Cypress Municipal Code Section 1-13 and Adding Subsections 1-13.1 and 1-13.2 to Regulate Use of the City Seal and Logo.
SUMMARY
On January 26, the City Council approved the first reading, by title only, of an ordinance amending Cypress Municipal Code Section 1-13 and adding Subsections 1-13.1 and 1-13.2 to Regulate Use of the City Seal and Logo. If approved, the Ordinance will become effective March 11, 2026.
BUDGET IMPACT
There is no fiscal impact associated with adoption and regulation of authorized use of the proposed ordinance adopting the revised City Seal and City logo.
LEGAL REVIEW
The proposed ordinance has been prepared by the City Attorney's office.
APPROVED BY: Sean Joyce, Interim City
Manager
Attachments
Ordinance City Seal & Logo
ORDINANCE NO. 1230
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CYPRESS, CALIFORNIA, AMENDING CYPRESS
MUNICIPAL CODE SECTION 1-13 AND ADDING
SUBSECTIONS 1-13.1 AND 1-13.2 TO REGULATE USE OF
THE CITY SEAL AND CITY LOGO
WHEREAS, the City Council (the “City Council”) of the City of Cypress (the “City”) has previously adopted section 1-13 to designate the size and form of the official seal of the City; WHEREAS, the City of Cypress has a City Seal and City logo that are not protected from unauthorized use by ordinance or copyright law;
WHEREAS, California Government Code § 34501.5 and Elections Code § 18304 solely protect city seals by prohibiting the use of a city seal in campaign literature or mass mailing with the intent to deceive voters; and
WHEREAS, the unauthorized use, reproduction or facsimile of a city seal or logo for any purpose may create a misleading, erroneous or false impression that the document, item, statement, event, and/or organization is authorized, supported, and/or sponsored by the City or a public official; and
WHEREAS, the City desires to protect its official Seal, logo and related marks from all unauthorized uses to prevent fraud, deception, misrepresentation, and/or abuse; and WHEREAS, the City additionally desires to update the design of its official Seal; and WHEREAS, the City Council seeks to ensure that the City Seal, the City logo, and other City insignia are used only for purposes directly related to the official business of the City of Cypress, or as expressly authorized.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CYPRESS, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1. Recitals Incorporated. The City Council hereby specifically finds that all of the facts set forth in the above Recitals are true and correct and incorporated herein as findings of the City Council.
SECTION 2. Amendment. Section 1-13 of the Cypress Municipal Code is hereby amended as to the design of the City Seal and City logo and further amended to add Subsection 1 -13.1 entitled “Use of City Seal and City Logo” and Subsection 1-13.2 entitled “Penalties” to read as follows:
§1-13 Official Seal
(a) The official seal of the city shall be of the size and form and shall bear the figures and inscriptions set out as follows:
(b) The official logo of the city shall be of the size and form and shall bear the figures and inscriptions set out as follows:
§ 1-13.1 Use of City Seal and City Logo
(a) Use of the City Seal and City logo shall be in accordance with City Council policy, to be approved separately.
(b) It is unlawful for any person or entity to make use of the City logo, City Seal, prior iterations of the City Seal, or any portion, facsimile, mock-up, or reproduction thereof that is an imitation of the City Seal, or that may be mistaken therefor, that is designed, intended or likely to confuse, deceive or mislead the public, for private or commercial purposes or for any other purpose than the official business of the City without the express written consent of the City Clerk or City Manager or their designees under the authority granted by the City Council. § 1-13.2 Penalties
SECTION 3. Any person who engages in unauthorized or unlawful use of the City Seal or City logo under § 1-13.1 is subject to penalties pursuant to Cypress Municipal Code § 1-7.
Nothing herein prevents the City from using any other available civil and/or criminal remedies allowed by law to protect the City Seal from improper or illegal use.
SECTION 4. If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of Cypress hereby declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions thereof may be declared invalid or unconstitutional.
SECTION 5. This Ordinance shall be in full force and effect thirty (30) days after its passage.
SECTION 6. The City clerk shall certify to the passage and adoption of this Ordinance by the City council of the City of Cypress and shall cause a summary of this ordinance to be published in accordance with Government Code § 36933.
PASSED, APPROVED AND ADOPTED by the City Council of the City of Cypress at a regular meeting held on the ____ day of February 2026.
Leo Medrano, Mayor
ATTEST:
Lisa Berglund, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
I, LISA BERGLUND, City Clerk of the City of Cypress, DO HEREBY CERTIFY that the foregoing Ordinance was duly adopted at a regular meeting of said City Council held on the _____ day of January 2026, by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
___________________________________
Lisa Berglund, City Clerk
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 4.
FROM: Nick Mangkalakiri, Director of Public Works
DATE: 02/09/2026
SUBJECT: Award Contract for the Police Department Shooting Range Bullet-Trap Replacement, Project 422
RECOMMENDATION
1. Approve Plans and Specifications for the Police Department Shooting Range Bullet-Trap Replacement, Project 422; and
2. Award the attached contract to Hunter Consulting Inc., dba HCI Environmental & Engineering Services for $94,250, and authorize a contingency of $14,130, and authorize the City Manager to execute the same; and
3. Appropriate an additional $52,380 in the Capital Projects Fund for Project 422; and
4. Transfer $52,380 from the Infrastructure Reserve Fund to the Capital Projects Fund for Project 422.
DISCUSSION
The Police Department’s shooting range is equipped with a rubber bullet-trap containment system that was installed in 2006 and is original to the facility. The system is significantly worn and has reached the end of its useful life. Replacing the system will restore safe operations, reduce safety hazards, and improve overall working conditions by minimizing lead dust and noise within the range.
In January, Public Works solicited bids through its online procurement system and received one bid from HCI Environmental & Engineering Services, in the amount of $94,250. A summary of project award information is attached. HCI Environmental & Engineering Services comes highly recommended and has completed similar projects for other public agencies throughout Southern California.
The total project cost of $112,380 includes construction, in-house labor, and contingency and exceeds the adopted FY 2025–26 budget allocation of $60,000. Public Works develops and exceeds the adopted FY 2025–26 budget allocation of $60,000. Public Works develops project budgets based on preliminary cost estimates and scopes of work. However, the extended service life of the existing bullet-trap system has resulted in a significant accumulation of residual material, requiring additional labor and specialized handling for proper cleanup and disposal. These conditions contributed to overall project costs being higher than initially anticipated.
This project is part of the CIP Streamlining Pilot Program. However, since project costs will exceed the approved budget, City Council approval is needed for an additional appropriation to cover the shortfall and the project no longer qualifies for the pilot program.
BUDGET IMPACT
The FY 2025-26 Budget includes $50,000 for replacement of the rubber bullet-trap containment system and $10,000 for annual routine maintenance of the containment system. Total estimated project costs will not exceed $112,380. A supplemental appropriation of $52,380 and a fund transfer from the Infrastructure Reserve Fund to the Capital Projects Fund is required. Sufficient fund balance is available in the Infrastructure Reserve Fund to proceed with the project.
LEGAL REVIEW
None required.
APPROVED BY: Sean Joyce, Interim City
Manager
Attachments
Project Award Information
Contract Agreement
Project Award Information Checklist
Description of Project:
Cleaning and removal of lead, copper and other debris from the bullet trap and replacement of rubber bullet trap at the Police Department Shooting Range facility.
Notice Inviting Bids
Publication Date:
Notice Inviting Bids Sent to:
Bid Opening Date:
No. of Bid Packets Downloaded:
December 8, 2025
PlanetBids
January 8, 2026
7 Bidders Base Bid
1. Hunter Consulting dba HCI Environmental & Engineering $94,250 Apparent Low Bidder: Hunter Consulting dba HCI Environmental & Engineering - $94,250 Qualified to Perform Work: Yes. Staff confirmed bid was responsive.
Contractor’s License: Registration with DIR:
Valid at Time of Award: Yes Contractor: Yes
Valid at Time of Bid: Yes Sub-Contractor: Yes
Experience:
The apparent low bidder has performed this type of work for multiple government agencies in Southern California.
CONTRACT AGREEMENT
CIP PROJECT NO. 422
THIS AGREEMENT, made and entered into this th day of , in the year 2026, by and between the City of Cypress, a Municipal Corporation, organized and existing in the County of Orange under and by virtue of the laws of the State of California and said City's charter, hereinafter designated as the "City", to enter into the contract for the construction of the project entitled POLICE DEPARTMENT SHOOTING RANGE IMPROVEMENTS, and the contractor, HUNTER CONSULTING INC., dba HCI ENVIRONMENTAL & ENGINEERING SERVICE hereinafter designated as the “Contractor”.
WITNESSETH: That the parties hereto have mutually covenanted and agreed for other good and valuable consideration the receipt of which is hereby acknowledged, and by these presents do covenant and agree with each other as follows:
Article I
The Contract Documents consist of the Invitation for Bids, the Instructions to Bidders, the Bid Security Forms for Check or Bond, the Price Schedule, this Agreement, the Faithful Performance Bond, the Labor and Materials Bond, the Non-Collusion Affidavits, the Specifications, the most recent version of the “‘Greenbook’ Standard Specifications for Public Works Construction” (the “Greenbook”), the most recent version of the City of Cypress’ supplement to the Greenbook (the “Brown Book”), the Drawings, and all addenda as prepared prior to date of bid opening setting forth any modifications or interpretation of any said documents, and any and all supplemental agreements amending or extending the work contemplated and which may be required to complete the work in a substantial and acceptable manner. All of the provisions of said Contract Documents are hereby incorporated herein by this reference and made a part of this Agreement as truly as if fully set forth herein. The Brown Book shall control over any conflicting specifications herein, if any.
Article II
For and in consideration of the payments and agreements to be made and performed by the City as set forth in said Contract Documents, the Contractor agrees with the City to provide for the construction of the project entitled POLICE DEPARTMENT SHOOTING RANGE IMPROVEMENTS, together with appurtenances thereto, for which award of contract was made, to furnish at his/her own proper cost and expense all tools, equipment, services, labor, and materials necessary therefore, and to do everything required by said Contract Documents.
Article III
For furnishing all said services and materials, obtaining all permits and licenses of a temporary nature; furnishing and removing all plants, temporary work or structures, tools and equipment, and doing all the work contemplated and embraced in this Agreement, also for all loss and damage arising out of the nature of the aforesaid work during its progress or prior to acceptance, from the action of the elements, and from any unforeseen difficulties which may arise or be encountered in the prosecution of the work, and for all other risks of any description connected with the work, also for all expenses incurred by or in consequence of the suspension of discontinuance of work, except such as in the said Contract Documents are expressly stipulated to be borne by the City and for well and faithfully completing the work and the whole thereof within the stipulated time and in the manner shown and described in the said Documents and in accordance with the requirements of the Engineer under them; the City will pay and the Contractor shall receive in full compensation therefore the price set forth by him in the Accepted Bid.
Article IV
The Contracting Agency hereby promises and agrees with the said Contractor to employ, and does hereby employ the said Contractor to provide the material and to do the work according to the terms and conditions herein contained and referred to, for the price aforesaid, and hereby contracts to pay the same at the time, in the manner, and upon the conditions set forth in the Contract Documents, and said parties for themselves, their heirs, executors, administrators, successors, and assigns, do hereby agree to the full performance of the covenants herein contained.
Article V
No work, services, material, or equipment shall be performed or furnished under this Agreement unless and until the City has given a Notice to Proceed to the Contractor. The Contractor shall commence work within ten working days after said notice is given.
Article VI
To the full extent permitted by law, Contractor agrees to indemnify, defend and hold harmless the City, its officers, employees and agents (“Indemnified Parties”) against, and will hold and save them and each of them harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities whether actual or threatened (herein “claims or liabilities”) that may be asserted or claimed by any person, firm or entity arising out of or in connection with the negligent performance of the work, operations or activities provided herein of Contractor, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Contractor is legally liable (“indemnitors”), or arising from Contractor’s or indemnitors’ reckless or willful misconduct, or arising from Contractor’s or indemnitors’ negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith:
(i) Contractor will defend any action or actions filed in connection with any of said claims or liabilities and will pay all costs and expenses, including legal costs and attorney’s fees incurred in connection therewith;
(ii) Contractor will promptly pay any judgment rendered against the City, its officers, agents or employees for any such claims or liabilities arising out of or in connection with the negligent performance of or failure to perform such work, operations or activities of Contractor hereunder; and Contractor agrees to save and hold the City, its officers, agents, and employees harmless therefrom; (iii) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Contractor for such damages or other claims arising out of or in connection with the negligent performance of or failure to perform the work, operation or activities of Contractor hereunder, Contractor agrees to pay to the City, its officers, agents or employees, any and all costs and expenses incurred by the City, its officers, agents or employees in such action or proceeding, including but not limited to, legal costs and attorney’s fees.
Contractor shall incorporate similar indemnity agreements with its subcontractors and if it fails to do so Contractor shall be fully responsible to indemnify City hereunder therefore, and failure of City to monitor compliance with these provisions shall not be a waiver hereof. This indemnification includes claims or liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Contractor in the performance of professional services hereunder. The provisions of this Section do not apply to claims or liabilities occurring as a result of City’s sole negligence or willful acts or omissions, but, to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from City’s negligence, except that design professionals’ indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness or willful misconduct of the design professional. The indemnity obligation shall be binding on successors and assigns of Contractor and shall survive termination of this Agreement.
Article VII
Contractor has represented to City that Contractor possesses a valid State Contractor's license appropriate to the work to be performed under this contract. If Contractor does not possess or fails to maintain the appropriate contractors' license during the entire term of Agreement, City may summarily terminate this Agreement, withhold funds due Contractor or seek reimbursement of funds paid, and recover from Contractor any and all costs incurred by City in completing the contract which was in excess of Contractor's bid.
Article VIII
This Agreement shall be interpreted, construed and governed both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Orange, State of California, or any other appropriate court in such county, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Orange, State of California.
Article IX
If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorney’s fees. Attorney’s fees shall include attorney’s fees on any appeal, and in addition a party entitled to attorney’s fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment.
Article X
No officer or employee of the City shall be personally liable to the Contractor, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.
Article XI
Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Contract Officer. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.
Article XII
Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class in the performance of this Agreement. Contractor shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class.
Article XIII
The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply.
Article XIV
This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument.
Article XV
This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the parties, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Contractor and by the City Council. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.
Article XVI
In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder unless the invalid provision is so material that its invalidity deprives either party of the basic benefit of their bargain or renders this Agreement meaningless.
Article XVII
No official, officer, or employee of City has any financial interest, direct or indirect, in this Agreement, nor shall any official, officer, or employee of City participate in any decision relating to this Agreement which may affect his/her financial interest or the financial interest of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any State or municipal statute or regulation. The determination of “financial interest” shall be consistent with State law and shall not include interests found to be “remote” or “noninterests” pursuant to Government Code Sections 1091 or 1091.5.
Nor shall any such officer or employee participate in any decision relating to the Agreement which affects her/his financial interest or the financial interest of any corporation, partnership or association in which (s)he is, directly or indirectly, interested, in violation of any State statute or regulation, including but not limited to the Political Reform Act (Government Code Sections 81000, et seq.) Contractor warrants and represents that it has not paid or given, and will not pay or give, to any third party including, but not limited to, any City official, officer, or employee, any money, consideration, or other thing of value as a result or consequence of obtaining or being awarded any agreement. Contractor further warrants and represents that (s)he/it has not engaged in any act(s), omission(s), or other conduct or collusion that would result in the payment of any money, consideration, or other thing of value to any third party including, but not limited to, any City official, officer, or employee, as a result of consequence of obtaining or being awarded any agreement. Contractor is aware of and understands that any such act(s), omission(s) or other conduct resulting in such payment of money, consideration, or other thing of value will render this Agreement void and of no force or effect.
Article XVIII
The person(s) executing this Agreement on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the parties.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first written above.
CITY OF CYPRESS, CALIFORNIA HUNTER CONSULTING INC., dba HCI
ENVIRONMENTAL & ENGINEERING
SERVICE
Contractor's Name
Sean Joyce, City Manager
Title:
Attest:
City Clerk of the City of Cypress
Title:
City Attorney has approved this agreement as to form. (Agreement cannot be accepted from corporations without signatures from (2)
corporate officers.)
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 5.
FROM: Nick Mangkalakiri, Director of Public Works
DATE: 02/09/2026
SUBJECT: Award Contracts for Electric Vehicle Charging Stations, Project 428
RECOMMENDATION
Award a contract to ABM Electrical & Lighting Solutions Inc. for $126,648.61, and authorize a contingency of $15,350.
DISCUSSION
The FY 2025–26 Capital Improvement Program (CIP) includes a project to install five new electric vehicle (EV) charging stations at the Public Works Maintenance Yard to support the City's Civilian Fleet Sustainability/Electrification Pilot Program. The charging stations will support the City’s sustainability goal of transitioning its fleet to electric vehicles.
Public Works recommends utilizing Sourcewell ezIQC, an Indefinite Delivery, Indefinite Quantity (IDIQ) procurement process, for this project. Sourcewell competitively bids on projects involving the repair, alteration, modernization, and rehabilitation of infrastructure and facilities. The California Government Code and Cypress Municipal Code Section 21A-10(e) allow for cooperative purchasing agreements, enabling public entities to benefit from shared contracting efforts. This procurement method has been successfully utilized for several projects, including the Veterans Park Picnic Pavilion Reconstruction, Community Center Roof Replacement, and City Hall and Police Department Roof Replacement.
Sourcewell contracts with Gordian to administer the ezIQC program. Through Gordian, Public Works evaluated the project with ABM Electrical & Lighting Solutions (ABM).
Following a thorough review of the project scope of work, ABM submitted a proposal in the amount of $126,648.61 for the installation of the EV charging stations. ABM comes highly recommended and has completed similar projects for other public agencies throughout Southern California.
Construction is anticipated to begin in spring 2026 and will take approximately three months to complete.
BUDGET IMPACT
Estimated project costs, including design and labor, will not exceed $150,000. Sufficient amounts are budgeted in the Capital Projects Fund.
LEGAL REVIEW
The City Attorney has reviewed and approved the agreements as to form.
APPROVED BY: Sean Joyce, Interim City
Manager
Attachments
Contract Agreement
Sourcewell Contract Agreement
01405.0006/857127.1 -1-
AGREEMENT FOR CONSTRUCTION SERVICES (ezIQC CONTRACTING)
BETWEEN CITY OF CYPRESS AND
ABM ELECTRICAL & LIGHTING SOLUTIONS
FOR
ELECTRIC VEHICLE CHARGING STATIONS, PROJECT 428
THIS AGREEMENT FOR CONSTRUCTION SERVICES (“Agreement”) is made and entered into on (“Effective Date”), by and between the City of Cypress, a California municipal corporation and ABM Electrical & Lighting Solutions, LLC (“Contractor”). City and Contractor may be referred to, sometimes individually or collectively, as “Party” or “Parties.” Contractor’s State License Number is 967676 and DIR Registration Number is 1000003477.
RECITALS
A. Bids for the Project were received, publicly opened, and declared on the date specified in said notice, or as otherwise accepted and processed through those procedures and approvals authorized under the City of Cypress Municipal Code.
B. City accepted the bid of Contractor dated December 11, 2025 pursuant to legal requirements and selected Contractor for the Project.
C. City desires to retain Contractor, on an independent contractor basis, for the Project, as more particularly described below.
D. Contractor represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.
E. Pursuant to the City of Cypress Municipal Code and California state law, City has authority to enter into and execute this Agreement.
F. The Parties desire to formalize the selection of Contractor for performance of the services and desire that the terms of that performance be as particularly defined and described herein.
NOW, THEREFORE, in consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:
01405.0006/857127.1 -2-
AGREEMENT
ARTICLE 1. CONTRACTOR SERVICES
1.1 Scope of Work.
The Contractor shall perform all of the work, furnish all labor, materials, equipment, tools, utility services, and transportation, and comply with all of the specifications and requirements (collectively referred to herein as the “services” or “work” hereunder) in the Contract Documents for Electric Vehicle Charing Stations (“Project”). All such work shall be performed in a good and workmanlike manner, as reasonably determined by the City, and shall be performed in compliance with all local, state, and federal laws and regulations. By entering into this Agreement, Contractor acknowledges that there may be other contractors on the site whose work will be coordinated with that of its own. Contractor expressly agrees that it will cooperate with other contractors and will do nothing to delay, hinder, or interfere with the work of other separate contractors, the City, the Project Manager, architects, inspectors, engineers, or utilities. As used herein, “Contract Documents” refers to all of the following documents, all of which are component parts of this Agreement as if herein set out in full or attached hereto:
A. Notice of Inviting Bids, Bid Forms & Instructions to Bidders B. Scope of Work, if any
C. Plans for the Project, if any
D. Project Construction Schedule
E. General Specifications and Provisions, if any
F. Special Provisions for the Project, if any
G. Standard Specifications
H. Technical Specifications
I. Addendum(s) as issued
J. Contractor’s Signed Bid Proposal and Information Required of Bidder K. Designated Subcontractors List, if any
L. Bid Bond, Performance Bond, Labor & Materials Payment Bond, and any other Bonds as required by this Agreement
M. Insurance Certificates and Written Endorsements
N. Notice to Proceed (issued by the City)
O. Notice of Completion (issued by the City at final completion of the project) 01405.0006/857127.1 -3-
P. Guaranty Form
Q. All Changes Orders properly authorized after execution of Agreement.
The Contract Documents are incorporated into this Agreement and made part hereof. In the event of any conflict between the terms of the Contract Documents and this Agreement, the terms of this Agreement shall govern.
1.2 Incorporation of Greenbook.
The provisions of the 2018 Edition of the Standard Specifications for Public Works Construction, as updated by errata, (“Greenbook”) are incorporated herein as the Standard Specifications, except as explicitly modified herein or by the Contract Documents. In the event of any conflict between the provisions of the Greenbook and this Agreement, the terms of this Agreement shall govern.
1.3 Compliance with Labor and Wage Laws.
(a) Public Work. The Parties acknowledge that the work to be performed under this Agreement is a public work as defined in Labor Code section 1720 and that this Agreement is therefore subject to the requirements of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works contracts and the rules and regulations established by the Department of Industrial Relations (“DIR”) implementing such statutes. The work performed under this Agreement is subject to compliance monitoring and enforcement by the DIR. Contractor shall post job site notices, as prescribed by regulation. (b) Registration with DIR. Pursuant to Labor Code section 1771.1, Contractor and all subcontractors must be registered with, and pay an annual fee to, the DIR prior to and during the performance of any work under this Agreement. (c) Prevailing Wages. Contractor shall pay prevailing wages to the extent required by Labor Code section 1771. Pursuant to Labor Code section 1773.2, copies of the prevailing rate of per diem wages are on file at City Hall and on the DIR website at http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm and will be made available to any interested party on request. By initiating any work under this Agreement, Contractor acknowledges receipt of a copy of the DIR determination of the prevailing rate of per diem wages, and Contractor shall post a copy of the same at each job site where work is performed under this Agreement. If this Agreement is subject to the payment of federal prevailing wages under the Davis-Bacon Act (40 U.S.C. § 3141 et seq.), then Contractor shall pay the higher of either the state or federal prevailing wage applicable to each laborer.
(d) Penalty for Failure to Pay Prevailing Wages. Contractor shall comply with and be bound by the provisions of Labor Code sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The Contractor shall, as a penalty to the City, forfeit the sum of $200 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Contractor or by any subcontractor.
01405.0006/857127.1 -4-
(e) Payroll Records. Contractor shall comply with and be bound by the provisions of Labor Code section 1776, which requires Contractor and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Labor Code section 1776; certify and make such payroll records available for inspection as provided by Labor Code section 1776; and inform the City of the location of the records.
Contractor shall submit all required reporting and records directly to the DIR. (f) Apprentices. Contractor shall comply with and be bound by the provisions of Labor Code sections 1777.5, 1777.6, and 1777.7 and California Code of Regulations Title 8, section 200 et seq. concerning the employment of apprentices on public works projects. Contractor shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Contractor shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within sixty (60) days after concluding work pursuant to this Agreement, Contractor and each of its subcontractors shall submit to the City a verified statement of the journeyman and apprentice hours performed under this Agreement.
(g) Eight-Hour Work Day. Contractor acknowledges that eight (8) hours labor constitutes a legal day’s work. Contractor shall comply with and be bound by Labor Code section 1810.
(h) Penalties for Excess Hours. Contractor shall comply with and be bound by the provisions of Labor Code section 1813 concerning penalties for workers who work excess hours. The Contractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the performance of this Agreement by the Contractor or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code section 1815, work performed by employees of Contractor in excess of eight (8) hours per day, and forty (40) hours during any one week, shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than one and one-half (1½) times the basic rate of pay.
(i) Workers’ Compensation. California Labor Code sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees if it has employees. In accordance with the provisions of California Labor Code section 1861 and Section 5.1 and 5.2 of this agreement, Contractor certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.”
(j) Contractor’s Responsibility for Subcontractors. For every subcontractor who will perform work under this Agreement, Contractor shall be responsible for such subcontractor’s compliance with Division 2, Part 7, Chapter 1 (commencing with Section 1720) 01405.0006/857127.1 -5-
of the California Labor Code, and shall make such compliance a requirement in any contract with any subcontractor for work under this Agreement. Contractor shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor’s compliance, including without limitation, conducting a review of the certified payroll records of the subcontractor on a periodic basis or upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages. Contractor shall diligently take corrective action to halt or rectify any such failure by any subcontractor.
1.4 Compliance with Law.
All services rendered hereunder shall be provided in accordance with all ordinances, resolutions, statutes, rules and regulations of City and any federal, state or local governmental agency having jurisdiction in effect at the time services are rendered. City, and its elected and appointed officers, employees, agents, designated volunteers, attorneys, successors and assigns shall not be liable at law or in equity for failure of Contractor to comply with this Section.
1.5 Licenses, Permits, Fees and Assessments.
Contractor has California State Contractor’s License Board License Classification B, No. 1044711 and shall maintain said license and obtain and maintain, at its sole cost and expense, such licenses, permits, registrations, and approvals as may be required by law for the performance of the services required by this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Contractor’s performance of the services required by this Agreement, and shall indemnify, defend and hold harmless City, its officers, employees or agents of City, against any such fees, assessments, taxes, penalties or interest levied, assessed or imposed against City hereunder.
1.6 Familiarity with Work.
By executing this Agreement, Contractor warrants that Contractor (i) has thoroughly investigated and considered the Scope of Work to be performed, (ii) has carefully considered how the services should be performed, and (iii) fully understands the facilities, difficulties and restrictions attending performance of the services under this Agreement. If the services involve work upon any site, Contractor warrants that Contractor has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of services hereunder.
1.7 Discovery of Unknown Conditions.
(a) Pursuant to Public Contract Code section 7104, Contractor shall promptly, and before the following conditions are disturbed, notify the City, in writing, of any: (i) material Contractor believes may be hazardous waste as defined in Section 25117 of the Health & Safety Code required to be removed to a Class I, II, or III disposal site in accordance with existing law; (ii)subsurface or latent physical conditions at the site differing from those indicated by information about the site made available to bidders prior to the deadline for submitting bids on the project; or (iii) unknown physical conditions at the site of any unusual nature, different materially from those 01405.0006/857127.1 -6-
ordinarily encountered and generally recognized as inherent in work of the character provided for in this Agreement.
(b) City shall promptly investigate the conditions, and if it finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in Contractor’s cost of, or the time required for, performance of any part of the work, shall issue a change order in accordance with this Agreement.
(c) In the event that a dispute arises between City and Contractor whether the conditions materially differ, or involve hazardous waste, or cause a decrease or increase in Contractor’s cost of, or time required for, performance of any part of the work, Contractor shall be entitled to a reasonable adjustment of the time and/or Compensation Sum to account for such conditions and shall not be required to adhere to the original scheduled completion date until the Parties have mutually determined the appropriate adjustment. Contractor shall proceed with all work to be performed under the Agreement only to the extent such work can be safely and feasibly performed. Contractor shall retain any and all rights provided either by contract or by law, which pertain to the resolution of disputes and protests between the contracting Parties and nothing in this provision shall be construed to waive Contractor’s entitlement to additional compensation, time extensions, or suspension of performance as permitted under applicable law.
1.8 Unidentified Utilities.
To the extent required by Government Code section 4215, City will compensate Contractor for the cost of locating, repairing damage not due to the failure of Contractor to exercise reasonable care, and removing or relocating utility facilities not identified by City in the Contract Documents with reasonable accuracy, and for equipment on the project necessarily idled during such work.
Nothing herein shall be deemed to require City to indicate the presence of existing service laterals or appurtenances whenever the presence of such utilities on the project site can be inferred from the presence of other visible facilities, such as buildings, meters, and junction boxes, on or adjacent to the site of the construction; provided, however, nothing herein shall relieve City from identifying main or trunklines in the plans and specifications. If Contractor, while performing the work, discovers utility facilities not identified by City in the plans or specifications, Contractor shall immediately notify City and the utility in writing. This Agreement is subject to Government Code sections 4216 through 4216.9. Contractor must notify utilities and obtain an identification number before excavation or be subject to liability for damages to subsurface installations. Pursuant to Government Code Sections 4216 through 4216.9, the methods used and costs involved to locate existing elements, points of connection and all construction methods are Contractor’s sole responsibility. Accuracy of information furnished, as to existing conditions, is not guaranteed.
Contractor, at its sole expense, must make all investigations necessary to determine locations of existing elements, which may include, without limitation, contacting U.S.A. alert and other private underground locating firm(s), and/or utilizing potholes, specialized locating equipment and/or hand trenching.
1.9 Trench Excavation.
Pursuant to Labor Code section 6705, if this Agreement is for more than $25,000 and requires the excavation of any trench or trenches five feet or more in depth, Contractor shall 01405.0006/857127.1 -7-
submit, in advance of such excavation, a detailed plan showing the design of shoring, bracing, sloping, or other provisions to be made for worker protection from the hazard of caving ground during the excavation of such trench or trenches. The plan shall be reviewed and accepted by the City, or a registered civil or structural engineer employed by the City to whom authority has been delegated, prior to the excavation. If the plan varies from the shoring system standards, the plan shall be prepared by a registered civil or structural engineer. This section shall not be deemed to allow the use of a shoring, sloping, or protective system less effective than that required by the Construction Safety Orders. This subsection shall not be construed to impose tort liability on the City or any of its employees. Full compensation for sheeting, shoring, bracing, sloping, and all other provisions required for worker protection shall be considered as included in the contract price shown in the appropriate Bid item, and no additional compensation will be allowed therefor.
1.10 Protection and Care of Work and Materials.
The Contractor shall adopt reasonable methods, including providing and maintaining storage facilities, during the life of the Agreement, to furnish continuous protection to the work, and the equipment, materials, papers, documents, plans, studies and/or other components thereof to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the work by City, except such losses or damages as caused by City’s own negligence. Stored materials shall be reasonably accessible for inspection. Contractor shall not, without City’s consent, assign, sell, mortgage, hypothecate, or remove equipment or materials which have been installed or delivered and which may be necessary for the completion of the work.
1.11 Warranty.
Contractor warrants all work under the Agreement (which for purposes of this Section shall be deemed to include unauthorized work which has not been removed and any non-conforming materials incorporated into the work) to be of good quality and free from any defective or faulty material and workmanship. Contractor agrees that for a period of one year (or the period of time specified elsewhere in the Agreement or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the work, whichever is later) after the date of final acceptance, Contractor shall within ten (10) calendar days after being notified in writing by the City of any defect in the work or non-conformance of the work to the Agreement, commence and prosecute with due diligence all work necessary to fulfill the terms of the warranty at its sole cost and expense. Contractor shall act as soon as requested by the City in response to an emergency. In addition, Contractor shall, at its sole cost and expense, repair, remove and/or replace any portions of the work (or work of other contractors or subcontractors) damaged by its defective work or which becomes damaged in the course of repairing or replacing defective work. For any work so corrected, Contractor’s obligation hereunder to correct defective work shall be reinstated for an additional one year period, commencing with the date of acceptance of such corrected work.
Contractor shall perform such tests as the City may require to verify that any corrective actions, including, without limitation, redesign, repairs, and replacements comply with the requirements of the Agreement. All costs associated with such corrective actions and testing, including the removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of the Contractor. All warranties and guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the work, whether express or implied, are deemed to be obtained by Contractor for the benefit of the City, regardless of whether or not 01405.0006/857127.1 -8-
such warranties and guarantees have been transferred or assigned to the City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of the City. In the event that Contractor fails to perform its obligations under this Section, or under any other warranty or guaranty under this Agreement, to the reasonable satisfaction of the City, the City shall have the right to correct and replace any defective or non-conforming work and any work damaged by such work or the replacement or correction thereof at Contractor’s sole expense.
Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon demand. Notwithstanding the foregoing, Contractor sells and delivers all products not manufactured by it "AS IS," but Contractor shall assign to the City any applicable manufacturers’ warranties covering such products not manufactured by it and shall otherwise use its best reasonable efforts to obtain from the manufacturer, in accordance with the manufacturer's customary practices, the repair or replacement of any products which may prove defective in workmanship or material. The foregoing shall be the exclusive remedy of the City and the sole obligation of Contractor with respect to products manufactured by others.
1.12 Additional Work and Change Orders.
(a) City shall have the right at any time during the performance of the services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Work or make changes by altering, adding to or deducting from said work. No such extra work may be undertaken unless an authorized written change order is first given by the City to the Contractor, incorporating therein any adjustment in (i) the Compensation Sum, and/or (ii) the time to perform this Agreement, which said adjustments are subject to the written approval of the Contractor (“Change Order”). All Change Orders must be signed by the Contractor and City’s authorized representative, prior to commencing the extra work thereunder. (b) Any increase in compensation of up to 12.12% of the Compensation Sum or any increase in the time to perform of up to 45 ☐calendar / ☒working days and which are not detrimental to the Work or to the interest of the City, may be approved by the City’s Director of Public Works or City Engineer, or either of their designees. Any greater increases, taken either separately or cumulatively, must be approved by the City Council. (c) Any adjustment in the Compensation Sum for a Change Order must be in accordance with the rates set forth in the Contractor’s Bid. If the rates in the Contractor’s Bid do not cover the type of work in the Change Order, the cost of such work shall not exceed an amount agreed upon in writing and signed by Contractor and City’s Director of Public Works or City Engineer, or either of their designees. If the cost of the Change Order cannot be agreed upon, the City will pay for actual work of the Change Order completed, to the satisfaction of the City, as follows:
(i) Labor: The cost of labor shall be the actual cost for wages of workers and subcontractors performing the work for the Change Order at the time such work is done. The use of labor classifications that would increase the cost of such work shall not be permitted.
01405.0006/857127.1 -9-
(ii) Materials and Equipment: The cost of materials and equipment shall be at cost to Contractor or lowest current price which such materials and equipment are reasonably available at the time the work is done, whichever is lower. (iii) If the cost of the extra work cannot be agreed upon, the Contractor must provide a daily report that includes invoices for labor, materials and equipment costs for the work under the Change Order. The daily report must include: list of names of workers, classifications, and hours worked; description and list of quantities of materials used; type of equipment, size, identification number, and hours of operation, including loading and transportation, if applicable; description of other City authorized services and expenditures in such detail as the City may require. Failure to submit a daily report by the close of the next working day may, at the City’s sole and absolute discretion, waive the Contractor’s rights for that day. (d) It is expressly understood by Contractor that the provisions of this Section shall not apply to services specifically set forth in the Scope of Work. Contractor does not waive its right to request equitable adjustments in the Compensation Sum and/or time when performance of the Scope of Work becomes more costly, more time-consuming, or more difficult due to conditions that were not reasonably foreseeable, not disclosed in the Contract Documents, or caused by the City, third parties, or changed circumstances outside the Contractor’s control; provided that Contractor hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Work may be more costly or time consuming than Contractor anticipates and that Contractor shall not be entitled to additional compensation therefor. City shall not, without Contractor’s written consent, have similar work done by other contractors in a manner that interferes with, delays, or increases the cost of Contractor’s performance. If City elects to have similar work performed by others, Contractor shall be entitled to compensation for any resulting inefficiencies, delays, or additional costs incurred.
(e) No claim for an increase in the Compensation Sum or time for performance shall be valid unless the procedures established in this Section are followed.
1.13 Special Requirements.
Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in the “Special Requirements,” attached hereto as Exhibit B and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit B and any other provisions of this Agreement or the Bid Documents, the provisions of Exhibit B shall govern.
ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT.
2.1 Compensation Sum.
Subject to any limitations set forth in this Agreement, City agrees to pay Contractor the amount of One Hundred Twenty Six Thousand, Six Hundred Forty Eight and 61/100 Dollars ($126,648.61) asset forth in Contractor’s Bid attached hereto as Exhibit A and incorporated herein by this reference (“Compensation Sum”). Subject to any additions or deductions that may be made by Change Order or amendment, and any penalties or damages that may be assessed against Contractor, Contractor shall receive a total compensation no greater than, including reimbursement of Contractor’s expenses, an amount not to exceed the contingency amount of Fifteen Thousand, 01405.0006/857127.1 -10-
Three Hundred Fifty ($15,350) plus the Compensation Sum for a total of One Hundred Forty One Thousand, Nine Hundred Ninety Eight and 61/100Dollars ($141,998.61) (“Contract Sum”) for completion of the work.
2.2 Invoices.
(a) Each month Contractor shall furnish to City an original invoice for all work performed during the preceding month using the form attached hereto as Exhibit E and incorporated herein by this reference. By submitting an invoice for payment under this Agreement, Contractor is certifying compliance with all provisions of the Agreement. (b) All invoices shall include a copy of Contractor’s Certified Payroll and proof that Certified Payroll has been submitted to the DIR. Contractor shall also submit a list of the prevailing wage rates (including federal prevailing wage rates, if applicable) for all employees and subcontractors providing services under this Agreement, as applicable, with Contractor’s first invoice. If these rates change at any time during the term of the Agreement, Contractor shall submit a new list of rates to the City with its first invoice following the effective date of the rate change.
2.3 Payment.
(a) Payments Made by City. City shall independently review each invoice submitted by the Contractor to determine whether the work performed and expenses incurred are in compliance with the provisions of this Agreement. Except as to any charges for work performed or expenses incurred by Contractor which are disputed by City, City will cause Contractor to be paid any progress payment generally within thirty (30) calendar days of receipt of Contractor’s correct and undisputed invoice; however, Contractor acknowledges and agrees that due to City warrant run procedures, the City cannot guarantee that payment will occur within this time period.
In the event that City does not cause Contractor to be paid any progress payment within thirty (30) calendar days of receipt of an undisputed and properly submitted invoice and provided the Project is for construction, Contractor shall be entitled to the payment of interest to the extent allowed under Public Contract Code section 20104.50. In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Contractor, not later than seven (7) calendar days after receipt by the City, for correction and resubmission. Returned invoices shall be accompanied by a document setting forth in writing the reasons why the payment request was rejected. Review and payment by the City of any invoice provided by the Contractor shall not constitute a waiver of any rights or remedies provided herein or any applicable law. (b) Payments Made by Contractor to Subcontractors. Contractor shall remit payments owed to subcontractors within fifteen (15) calendar days after receiving payments by City if payments are owed by Contractor to any subcontractor qualifying as a small business enterprise, and within thirty (30) calendar days if payments are owed by Contractor to any subcontractor other than a small business enterprise.
2.4 Retention.
Pursuant to Section 9203 of the Public Contract Code, City will deduct a five percent (5%) retention from all progress payments, which shall be released to Contractor no later than sixty (60) calendar days from completion of the work. In the event of a dispute between City and Contractor, 01405.0006/857127.1 -11-
City may withhold from the final payment an amount not to exceed one hundred fifty percent (150%) of the disputed amount.
2.5 Waiver.
Payment to Contractor for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Contractor.
2.6 Substitution of Securities.
(a) In conformance with the State of California Public Contract Code section 22300, Contractor may substitute securities for any monies withheld by the City to ensure performance under this Agreement.
(b) At the request and expense of Contractor, Contractor has the option of establishing an escrow account with a state or federally chartered bank which shall serve as an escrow agent, for Contractor’s direct deposit of securities as a substitute for retention earnings required to be withheld by the City. Upon Contractor’s completion of its obligations hereunder, as evidenced by the City’s acceptance of the work pursuant to Section 3.4 hereof, the escrow agent shall return the securities to Contractor. The escrow agent shall notify the City within ten (10) calendar days after deposit of the securities. The market value of the securities at the time of the substitution shall be at least equal to the cash amount then required to be withheld as retention.
Securities shall be held in the name of the City and shall designate Contractor as the beneficial owner. Alternatively, on written request of Contractor, the City shall make payments of the retention earnings directly to the escrow account.
ARTICLE 3. PERFORMANCE SCHEDULE
3.1 Schedule of Performance.
Contractor shall complete the Project within 45 ☐calendar / ☒ working days (“Contract Time”) after receiving a “Notice to Proceed” from the City in accordance with any schedule contained in or required to be provided by the Proposal or Contract Documents, and any revisions thereof approved by the City in writing. All of Contractor’s work on the Project shall be completed within durations established for the individual activities as set forth in the Contract Documents, and any revisions thereof approved by the City in writing. Time is of the essence. If the work is not completed within said time periods, liquidated damages shall apply. The term of this Agreement shall expire one (1) year following City’s acceptance of the Project.
3.2 Liquidated Damages.
Pursuant to Government Code section 53069.85, if work is not completed in strict compliance with Section 3.1 of this Agreement or in strict accordance with the schedule of performance provided by any schedule contained in or required to be provided by the Contract Documents (such deadlines collectively referred to herein as “Agreement Deadlines”), it is understood, acknowledged and agreed that the City will suffer damage. It is therefore agreed that the Contractor and its sureties shall pay to the City the sum of $250.00 for each and every calendar 01405.0006/857127.1 -12-
day of delay beyond the completion date in Section 3.1 of this Agreement, or beyond any completion schedule, construction schedule or Project milestones established in or pursuant to the Contract Documents, or beyond the time indicated in the Contract Documents for any individual activity to be performed pursuant to the Agreement. Contractor expressly understands, acknowledges and agrees that such liquidated damages can and shall be imposed if the Contractor does not meet each and every aspect of any activity schedule, completion schedule, construction schedule or Project milestones established in or pursuant to the Contract Documents. If the City accepts work or makes any payment under this Agreement after a default by reason of delays, the acceptance of such work and/or payment(s) shall in no respect constitute a waiver or modification of any provisions regarding Agreement Deadlines, a completion schedule, the Project schedule or the accrual of liquidated damages. In the event the same is not paid, the Contractor further agrees that the City may deduct the amount thereof from any money due or that may become due the Contractor under the Agreement. This Section does not exclude recovery of damages under provisions of the Contract Documents, and is expressly in addition to the City’s ability to seek other damages. To the extent required by Government Code section 4215, Contractor shall not be assessed liquidated damages for delay in completion of the work when such delay was caused by the failure of the City or owner of a utility to provide for removal or relocation of utility facilities.
3.3 Force Majeure.
The time period(s) specified in the Section 3.1 and pursuant to this Agreement for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the Contractor, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, (with the express exception of delays arising from the impact of COVID-19 and its variants to the extent such impact is foreseeable or should have reasonably been foreseeable), if the Contractor shall within ten (10) calendar days of the commencement of such delay notify the Project Manager in writing of the causes of the delay. The Project Manager shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of the Project Manager such delay is justified. The Project Manager’s determination shall be final and conclusive upon the Parties to this Agreement. In no event shall Contractor be entitled to recover damages against the City for any delay in the performance of this Agreement, however caused, Contractor’s sole remedy being extension of the Agreement pursuant to this Section.
3.4 Final Acceptance.
Acceptance of the Project shall only be by action of the City. Neither the acceptance nor any prior inspections or failure to inspect shall constitute a waiver by City of any defects in the work. From and after acceptance, the Project shall be owned and operated by City. As a condition to acceptance, Contractor shall certify to City in writing that all of the work has been performed in strict conformity with the Agreement and that all costs have been paid or supplied to City for security required herein, satisfactory to City, guaranteeing such performance. 01405.0006/857127.1 -13-
ARTICLE 4. COORDINATION OF WORK
4.1 Representatives and Personnel of Contractor.
Contractor’s ownership, management and licensing is tied to specific principal representatives (“Principals”) who are designated as Nate Piorek, Senior Sales Executive, (949) 702-9229, [email protected]. The Principals shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally supervise the services hereunder. All personnel of Contractor, and any authorized agents, shall at all times be under the exclusive direction and control of the Principals. For purposes of this Agreement, the Principals may not be replaced nor may their responsibilities be substantially reduced by Contractor without the express written approval of the Project Manager. Additionally, Contractor shall make every reasonable effort to maintain the stability and continuity of Contractor’s staff and subcontractors, if any, assigned to perform the services required under this Agreement. Contractor shall notify (and, as required by law, secure City approval in regards to subcontractors before changes in Contractor’s subcontractors, of) City of any changes in Contractor’s staff and subcontractors, if any, assigned to perform the services required under this Agreement, prior to and during any such performance.
4.2 Status of Contractor.
Contractor shall have no authority to bind City in any manner, or to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. Contractor shall not at any time or in any manner represent that Contractor or any of Contractor’s officers, employees, or agents are in any manner officials, officers, employees or agents of City. Neither Contractor, nor any of Contractor’s officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City’s employees. Contractor expressly waives any claim Contractor may have to any such rights.
4.3 Project Manager.
The Project Manager shall be designated by the City’s Director of Public Works or City Engineer. It shall be the Contractor’s responsibility to assure that the Project Manager is kept informed of the progress of the performance of the services and the Contractor shall refer any decisions which must be made by City to the Project Manager. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Project Manager. The Project Manager shall have authority, if specified in writing by the City’s Director of Public Works or City Engineer, to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement.
4.4 Independent Contractor.
Neither City, nor any of its officers, employees or agents, shall have any control over the manner or means by which Contractor, or its officers, employees, agents or subcontractors, perform the services required herein, except as otherwise set forth herein. Contractor shall perform all services required herein as an independent contractor of City and shall remain under only such 01405.0006/857127.1 -14-
obligations as are consistent with that role. Contractor shall not at any time or in any manner represent that it, or any of its officers, employees, agents or subcontractors, are officers, employees or agents of City. City shall not in any way or for any purpose become or be deemed to be a partner of Contractor in its business or otherwise or a joint venturer or a member of any joint enterprise with Contractor. Contractor shall not incur or have the power to incur any debt, obligation or liability whatever against City, or bind City in any manner. Contractor represents and warrants that the personnel used to provide services to City pursuant to this Agreement shall at all times be under Contractor’s exclusive control and direction. No City employee benefits shall be available to Contractor, its officers, employees, agents or subcontractors, in connection with the performance of this Agreement. City shall not be liable for compensation or indemnification to Contractor, its officers, employees, agents or subcontractors, for injury or sickness arising out of performing services hereunder. In the event that Contractor or any officer, employee, agent, or subcontractor of Contractor providing services under this Agreement claims or is determined by a federal or state agency, a court of competent jurisdiction, or the California Public Employees’ Retirement System, to be classified as other than an independent contractor for City, then Contractor shall indemnify, defend, and hold harmless City for the payment of any and all assessed fines, penalties, judgments, employee and/or employer contributions, and any other damages and costs assessed to City as a consequence of, or in any way attributable to, the assertion that Contractor, or any officer, employee, agent, or subcontractor Contractor used to provide services under this Agreement, is/are employees of City.
4.5 Subcontracting or Assignment.
The experience, knowledge, capability and reputation of Contractor, its principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Contractor shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of the City and in compliance with the Subletting and Subcontracting Fair Practices Act, Public Contract Code section 4100, et seq.
Contractor shall be responsible for ensuring compliance by any subcontractor or lower tier subcontractor under it with this Agreement, all state and federal laws, codes and regulations, and municipal ordinances and regulations of City. All subcontractors shall obtain, at its or Contractor’s expense, such licenses, permits, registrations and approvals (including from the City) as may be required by law for the performance of any services or work under this Agreement. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Contractor, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be voidable at the option of City. No approved transfer shall release the Contractor, or any surety or insured of Contractor, of any liability hereunder without the express consent of City.
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ARTICLE 5. INSURANCE, INDEMNIFICATION AND BONDS
5.1 Insurance Coverages.
Prior to commencement of any services under this Agreement, and without limiting Contractor’s indemnification obligation to City, Contractor shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City, for the duration of the Agreement, primary policies of insurance of the type and amounts below, as marked by checkmark, issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by City, which shall cover all elected and appointed officers, employees, agents, designated volunteers, and attorneys of City. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work. City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Contractor ninety (90) calendar days advance written notice of such change. If such change results in substantial additional cost to Contractor, City and Contractor may renegotiate Contractor’s compensation solely in regards to insurance coverage.
(a) ☒General liability insurance. A policy of commercial general liability insurance, with coverage at least as broad as Insurance Services Office (“ISO”) form CG 00 01, written on a per occurrence basis for bodily injury, personal injury and property damage. Defense costs must be paid in addition to limits. Coverage for an additional insured shall not be limited to its vicarious liability. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. Limits shall be no less than $1,000,000 per occurrence for all covered losses, and no less than $1,000,000 general aggregate, for bodily injury, personal injury and property damage, and a $1,000,000 completed operations aggregate. Contractor must maintain a policy of commercial general liability insurance for as long as there is a statutory exposure to completed operations claims. (b) ☒Automobile liability insurance. A policy of comprehensive automobile liability insurance, at least as broad as ISO form CA 00 01, written on a per occurrence basis covering bodily injury and property damage in an amount not less than $1,000,000 combined single limit for each accident. Said policy shall include coverage for owned, non-owned, leased, hired cars and any automobile.
(c) ☒Workers’ compensation insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). A policy of worker’s compensation insurance in such amount as will fully comply with the laws of the State of California (statutory limits) as well as a policy of employer’s liability insurance (with limits of at least $1,000,000), which shall each indemnify, insure and provide legal defense for Contractor against any loss, claim or damage arising from any injuries or occupational diseases occurring to any worker employed by or any persons retained by Contractor in the course of carrying out the work or services contemplated in this Agreement. In addition, Contractor shall require each subcontractor to similarly maintain a policy of worker’s 01405.0006/857127.1 -16-
compensation insurances and employer’sliability insurance in according with the laws of the State of California for all of the subcontractor’s employees. (d) ☐Builder’s Risk Insurance. Contractor shall maintain, from upon commencement of work and through the entire duration of the Project until only the City has an insurable interest, Builder’s Risk (Course of Construction) insurance utilizing an “All Risk” (Special Perils) coverage form, with limits equal to the completed value of the project and no coinsurance penalty provisions or provisional limit provisions. All subcontractors (excluding those solely responsible for design work) of any tier and suppliers shall be included as additional insureds as their interests may appear. Contractor shall not be required to maintain property insurance for any portion of the Project following transfer of control thereof to City. The policy shall contain a provision that all proceeds from the Builder’s Risk policy shall be made payable to the City. The City will act as a fiduciary for all other interests in the Project. Policy shall be provided for replacement value on an “all risk” basis for the completed value of the Project. There shall be no coinsurance penalty or provisional limit provision in any such policy. The policy must include: (1) coverage for any ensuing loss from faulty workmanship, nonconforming work, omission or deficiency in design or specifications; (2) coverage against machinery accidents and operational testing; (3) coverage for removal of debris, and insuring the buildings, structures, machinery, equipment, materials, facilities, fixtures and all other properties constituting a part of the Project; (4) ordinance or law coverage for contingent rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by the supplier or receiving contractor), with sub-limits sufficient to insure the full replacement value of any key equipment item; (6) ocean marine cargo coverage insuring any Project materials or supplies, if applicable; (7) coverage with sub-limits sufficient to insure the full replacement value of any property or equipment stored either on or off the Project site or any staging area. If the Project does not involve new or major reconstruction, then at the option of City, an Installation Floater may be acceptable. For such projects, a Property Installation Floater shall be obtained that provides for the improvement, remodel, modification, alteration, conversion or adjustment to existing buildings, structures, processes, machinery and equipment. The Property Installation Floater shall provide property damage coverage for any building, structure, machinery or equipment damaged, impaired, broken, or destroyed during the performance of the work, including during transit, installation, and testing at the Project site. (e) ☐Pollution Liability Insurance. Contractor shall maintain Environmental Impairment Liability insurance, written on a Contractor’s Pollution Liability form or other form acceptable to City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $[] per claim and in the aggregate.
All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for the hauling of waste from the project site to the final disposal location, including non-owned disposal sites. (f) Excess Liability and Umbrella Liability Insurance. Excess liability insurance and/or umbrella liability insurance may be used to satisfy the obligations herein. If excess liability insurance is used then the policy shall meet all the requirements herein and be at least as broad as the primary coverages set forth herein. Such policy shall: 1) include a drop down feature requiring the policy to respond if primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; 2) be payable on behalf of wording as opposed to reimbursement; 3) have concurrency of effective dates with primary policies; 4) 01405.0006/857127.1 -17-
“follow form” to the underlying primary policies; and, 5) provide insureds, under primary policies required herein, shall be insureds under the excess liability policy.
5.2 General Insurance Requirements.
(a) Proof of Insurance, Enforcement and Notice. No work or services under this Agreement shall commence until both Contractor has provided City with insurance certificates, endorsement forms and appropriate insurance binders, signed by a person authorized by the Insurer to bind coverage on its behalf, evidencing the above insurance coverages, as well as said documentation is approved by City. Any failure to comply with the reporting or other provisions of the policies including breaches or warranties shall not affect coverage provided to City. In the event any insurance policy required under this Agreement is cancelled or non-renewed (and the insurance policy is not replaced pursuant to subsection (b) below), or does not comply with Article 5, then: 1) City has the right but not the duty to obtain insurance required herein and any premium paid by City will be promptly reimbursed by Contractor or City will withhold amounts sufficient to pay premium from Contractor payments; or, 2) City, notwithstanding any other provisions of this Agreement, may immediately terminate this Agreement. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required insurance policies.
(b) Cancellation/Non-Renewal/Reduction of Limits. All of herein required policies of insurance shall provide the insurance may not be non-renewed, cancelled, or limits reduced below those required herein by insurer or any Party hereto without providing thirty (30) calendar days prior written notice (with exception of ten (10) calendar days prior written notice for nonpayment of premium) to City. In the event any ofsaid policies of insurance are non-renewed or cancelled, Contractor shall, prior to the cancellation date, submit new evidence of insurance, or reinstatement of policy, in conformance with this Agreement to City. (c) Additional Insureds. All of the above policies shall include City and its elected and appointed officers, employees, agents and designated volunteers (“City Parties”) as additional insureds via a blanket additional insured endorsement and such coverage shall contain no special limitations on the scope of protection afforded to City and City Parties. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer’s liability, and policies of insurance shall not contain any crossliability exclusions. (d) Primary, Subrogation, Contribution and Coverage. All of the above policies of insurance, except Workers’ Compensation and Employer’s Liability, shall be primary insurance. The insurers for above policies, Contractor and any subcontractors are all deemed hereof to waive all rights of subrogation and contribution they may have against City or City Parties, and their respective insurers, and all insurance policies required herein shall be endorsed to waive such rights. Any insurance maintained by City or City Parties will apply in excess of, and not contribute with, Contractor’s insurance. If Contractor maintains broader coverage and/or higher limits than the minimum amounts provided herein, City requires and shall be entitled to the broader coverage and/or higher limits maintained by Contractor. Any available insurance proceeds 01405.0006/857127.1 -18-
in excess of the specified minimum limits of insurance and coverage shall be available to City and City Parties. None of the coverages required herein will be in compliance with this Agreement if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Requirements of specific coverage features or limits contained herein are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any Party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. (e) Limitations, Self- Insured Retention and Deductibles. Contractor agrees that requirements of Article 5 shall not be construed as limiting in any way the extent to which Contractor may be held responsible for the payment of damages to any persons or property resulting from Contractor’s activities or the activities of any person or persons for which Contractor is otherwise responsible nor shall it limit Contractor’s indemnification liabilities as provided in Section 5.3. All insurance policies must specify that where the primary insured does not satisfy any self-insured retention, any additional insured may satisfy the self-insured retention (without impairment of obligation of primary insured under this Agreement to satisfy any selfinsured retention). Any deductibles or self-insured retentions must be declared to and approved by City.
(f) Completed operations coverage. Completed operations coverage shall extend a minimum of three 1 year after project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. (g) Pass through clause. Contractor agrees to ensure that its subconsultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of Article 5 of this Agreement. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
5.3 Indemnification.
(a) General Obligations. Contractor agrees, to the maximum extent permitted by law, to indemnify, defend and hold harmless City and its elected and appointed officers, employees, agents, designated volunteers, attorneys, successors and assigns (each an “Indemnitee” and collectively, “Indemnitees”) against, and will hold and save them and each of them harmless from, whether actual or threatened, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “Claims or Liabilities”) that may be asserted or claimed by any third-party but only to the extent caused by the negligent performance of the work, operations or activities provided herein of Contractor, its officers, employees, agents, 01405.0006/857127.1 -19-
subcontractors, or invitees, or any individual or entity for which Contractor is legally liable (each an “Indemnitor” and collectively, “Indemnitors”), or caused by Indemnitors’ reckless or willful misconduct, or arising from Indemnitors’ negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith: 1) Contractor will defend any action or actions filed or threatened in connection with any such Claims or Liabilities, or at option of Indemnitee(s) will reimburse and pay for all costs and expenses, including legal costs and attorneys’ fees, incurred by Indemnitee(s) in connection therewith; and, 2) Contractor will promptly pay any judgment rendered against Indemnitee(s) for any such Claims or Liabilities, and will save and hold Indemnitee(s) harmless therefrom. (b) Further Provisions. The indemnity obligation herein shall be binding on successors, assigns and heirs of Contractor and shall survive termination of this Agreement.
Contractor shall incorporate similar indemnity agreements as provided herein with its subcontractors, and if Contractor fails to do so Contractor shall be fully responsible to indemnify City hereunder therefor. Failure of City and/or City Parties (collectively “City” for solely this Section 5.2(b)) to monitor compliance with any of the indemnification provisions herein shall not be a waiver hereof. The indemnification provisions herein do not apply to claims or liabilities occurring as a result of City’s negligence or willful misconduct. The indemnification provided herein includes Claims or Liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Indemnitors in the performance of professional services hereunder. Payment of invoices by City is not a condition precedent to enforcement of the indemnity obligation herein. In the event of any dispute between Contractor and City, asto whether liability arises from the sole negligence, active negligence or willful misconduct of City, Contractor will be obligated to pay for City’s defense until either such time as a final judgment has been entered adjudicating, or agreement between the Parties is reached determining, City as negligent or responsible for willful misconduct. Contractor will not be entitled in the absence of such a determination or agreement to any reimbursement of defense costs including but not limited to attorneys’ fees, expert fees and costs of litigation. In instances where City is shown to have been negligent and/or engaged in willful misconduct, and where City’s negligence and/or willful misconduct accounts for only a percentage of the liability involved, the obligation of Contractor will be for that entire portion or percentage of liability not attributable to the negligence and/or willful misconduct of City. City may offset against the amount of any fees due to Contractor under this Agreement any amount due to City from Contractor as a result of Contractor’s failure to promptly pay to City any reimbursement or indemnification arising under Section 5.2 of this Agreement. Such offset, if any, does not satisfy any amount, greater than the offset, due to City from Contractor.
(c) Limitation on Damages. Except as may be owed to a third party under a Party’s indemnification obligations, neither Party shall be liable one to the other whether under contract, statute, tort (including negligence) or otherwise, for any indirect, exemplary, unforeseeable, loss of profits, loss of use, punitive or consequential, incidental, or special damages, even if that Party is notified in advance of such possibility, regardless of the form of the claim or action.
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5.4 Notification of Third-Party Claims.
Pursuant to Public Contract Code Section 9201, the City has full authority to compromise or otherwise settle any claim relating to this Agreement at any time. City shall timely notify Contractor of the receipt of any third-party claim relating to the work under this Agreement. City shall be entitled to recover from Contractor its reasonable costs incurred in providing such notification.
5.5 Performance and Payment Bonds.
Concurrently with execution of this Agreement, unless otherwise expressly provided in the bid documents, Contractor shall deliver to the City all of the following bonds:
(a) A performance bond securing the faithful performance of this Agreement, in an amount not less than 100% of the Compensation Sum. (b) A payment bond, securing the payment of all persons furnishing labor and/or materials in connection with the work under this Agreement, in an amount not less than 100% of the Compensation Sum.
All bonds shall be on the applicable forms provided in Exhibit C and Exhibit D attached hereto and incorporated herein by this reference. The bonds shall each contain the original notarized signature of an authorized officer of the surety and affixed thereto shall be a certified and current copy of his/her power of attorney. The bonds shall be unconditional and remain in force during the entire term of the Agreement until released pursuant to Section 5.7 hereof.
5.6 Sufficiency of Surety.
Bonds required by this Agreement shall be satisfactory only if issued by companies qualified to do businessin California, rated “A” or better in the most recent edition of Best’s Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better. If the City determines that the work to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the bonds may be changed accordingly upon receipt of written notice from the City’s Risk Manager. If such change results in substantial additional cost to Contractor, City and Contractor may renegotiate Contractor’s compensation solely in regards to bond coverage.
5.7 Release of Securities.
City shall release the performance bond and payment bond when the following have occurred:
(a) Contractor has made a written request for release and provided evidence of satisfaction of all other requirements under both the forms of the applicable bond attached to this Agreement as well as Article 5 of this Agreement;
(b) the Project has been accepted; and
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(c) after passage of the time within which lien claims are required to be made pursuant to applicable laws; if lien claims have been timely filed, City shall hold the payment bond until such claims have been resolved, Contractor has provided statutory bond, or otherwise as required by applicable law.
ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATION
6.1 Records.
Contractor shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies, certified and accurate copies of payroll records in compliance with all applicable laws, or other documents relating to the disbursements charged to City and services performed hereunder (the “books and records”), as shall be necessary to perform the services required by this Agreement and enable the Project Manager to evaluate the performance of such services. Any and all such books and records shall be maintained in accordance with generally accepted accounting principles, including but not limited to in accordance with the requirements of Labor Code section 1776, shall be complete and detailed, and shall be readily accessible. The Project Manager shall have full and free access to such books and records after reasonable notice and at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts. Such books and records shall be maintained either for a period of no less than three (3) years following completion of the services hereunder, or for such period of time as required by applicable law, whichever period of time is longer. City shall have access to such books and records in the event any audit is required. In accordance with Government Code section 8546.7 records of both the City and the Contractor shall be subject to examination and audit by the Auditor General for a period of three (3) years after final payment. Contractor shall fully cooperate with the City in providing access to any and all Contractor books and records, and any other applicable documents, if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.
6.2 Reports.
Contractor shall periodically submit written reports to the Project Manager concerning performance of the services, upon request, and/or as necessary for Project Manager to be informed of both performance of services as well as any decisions which must be made by City or Project Manager. Contractor hereby acknowledges that the City is greatly concerned about the cost of work and services to be performed pursuant to this Agreement. For this reason, Contractor agrees that if Contractor becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services contemplated herein, Contractor shall promptly notify the Project Manager of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto.
6.3 Ownership of Documents.
All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the “documents and materials”) prepared (regardless of whether complete or incomplete) by Contractor, its officers, employees, 01405.0006/857127.1 -22-
agents and subcontractors in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Project Manager or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the documents and materials hereunder. Any use, reuse or assignment of such completed documents for other projects and/or use of uncompleted documents without specific written authorization by the Contractor will be at the City’s sole risk and without liability to Contractor, and Contractor’s guarantee and warranties shall not extend to such use, reuse or assignment. Contractor may retain copies of such documents and materials under express condition that Contractor agrees such documents and materials are the sole property of City. All subcontractors shall provide for assignment to City of any documents and materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom. Moreover, Contractor with respect to any documents and materials that may qualify as “works made for hire” as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed “works made for hire” for the City.
6.4 Confidentiality and Release of Information.
(a) All information gained or work product produced by Contractor in its performance of this Agreement shall be considered confidential, unless such information is in the public domain. Contractor shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from the Project Manager. (b) No news releases, including photographs, public announcements, or confirmations of the same, of any part of the work, shall be made without prior written authorization from City. Contractor, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the Project Manager or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered “voluntary” provided Contractor immediately gives City notice of such court order or subpoena. (c) If Contractor, or any officer, employee, agent or subcontractor of Contractor, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorneys’ fees, caused by or incurred as a result of Contractor’s conduct. (d) As concerning, regarding or related to, in any way, this Agreement and the work performed thereunder: a) Contractor shall immediately notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder; b) City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding; and, c) Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response. 01405.0006/857127.1 -23-
ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION
7.1 California Law.
This Agreement shall be interpreted, construed and governed both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Orange, State of California, or any other appropriate court in such county, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Orange, State of California.
7.2 Default of Contractor.
(a) It is City's right to suspend or terminate this Agreement upon the occurrence of any of the following events by default of Contractor: (1) Contractor refuses or fails to perform the work required under this Agreement with diligence to ensure timely completion of the Project pursuant to Section 3.1; (2) Contractor fails to comply with the provisions of this Agreement; (3) Contractor violates any ordinance, regulation, state or federal law which applies to its performance under this Agreement; (4) Contractor files bankruptcy or otherwise becomes insolvent; (5) Contractor makes a general assignment for the benefit of creditors; (6) a trustee or receiver is appointed for the Contractor or his property; (7) Contractor repeatedly fails to supply sufficient skilled workers or suitable materials or equipment; (8) Contractor has abandoned the work or the Project, and/or; (9) Contractor disregards proper directives of the architect, inspector, or Project Manager under the Contract Documents. To the extent the default is curable, the City shall allow Contractor to remedy each cause for the termination without waiving City's right to terminate this Contract or restricting any other right or remedy under this Contract or law. (b) In the event that Contractor is in default for cause under the terms of this Agreement, City shall have no obligation or duty to continue compensating Contractor for any work performed after the date of default and can terminate or suspend this Agreement immediately by written notice to Contractor. If the Project Manager determines that Contractor is in default in the performance of any of the terms or conditions of this Agreement, the Project Manager shall cause to be served upon Contractor a written notice of the default. Contractor shall have ten (10) calendar days after service upon it of said notice in which to cure the default by rendering a satisfactory performance. In the event that Contractor fails to cure its default within such period of time, the City shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without further notice and without prejudice to any other remedy to which it may be entitled at law, in equity or under this Agreement. (c) Contractor shall be liable for damages sustained by City from the termination of the Agreement under this Section 7.2, including, but not limited to, all cost necessary for repair and completion of the work. City shall have the right to withhold monies otherwise payable to Contractor until the Project is complete. If City incurs additional costs, expenses, or other damages due to the failure of Contractor to perform the work pursuant to this Agreement, said expenditures shall be deducted from the amounts withheld (and if such deduction 01405.0006/857127.1 -24-
does not fully compensate City for said expenditures, then Contractor remains fully liable for the remaining balance owed to City). Should there be a balance of monies held after all expenses have been paid, the balance will be paid to Contractor upon completion of the Project.
7.3 Suspension or Termination.
The City may at any time, for any reason (including but not limited to for City’s convenience, environmental considerations, or when it is in the best interests of the City), with or without cause, suspend or terminate this Agreement, or any portion hereof, by serving upon Contractor at least ten (10) calendar days prior written notice. Upon receipt of said notice, Contractor shall immediately cease all work under this Agreement, unless the notice provides otherwise. If the City suspends a portion of this Agreement such suspension shall not make void or invalidate the remainder of this Agreement. Upon termination, Contractor shall be entitled to compensation for completion of any portion of the Project accepted by City up to the effective date of termination unless any portion of the Project is accepted by City after termination in which event Contractor shall be paid for such completed portion. Upon receipt of a termination notice, Contractor shall immediately discontinue the work and placement of orders for materials, facilities and supplies in connection with the performance of this Agreement, unless otherwise directed in the notice. Contractor shall promptly deliver to City all completed work, including plans, as-builts, forms, reports, and products. Any dispute regarding the amount owed to Contractor shall not diminish the right of City to receive and use such documents or materials. Contractor shall not be entitled to any claim or lien against City for any additional compensation or damages in the event of termination of this Agreement. In the event the City suspends the Agreement or any portion of the Work for its convenience, the City shall reimburse Contractor for all reasonable and documented costs incurred as a result of such suspension, including, without limitation, costs of demobilization, remobilization, re-delivery or re-procurement of materials, re-sequencing of work, standby labor or equipment costs, storage, protection of work in place, and any other costs unavoidably incurred due to the suspension..
7.4 Dispute Resolution Process.
In the event of any dispute or controversy with the City over any matter whatsoever, the Contractor shall not cause any delay or cessation in or of work, but shall proceed with the performance of the work in dispute. The Contractor shall retain any and all rights provided that pertain to the resolution of disputes and protests between the Parties. The disputed work will be categorized as an “unresolved dispute” and payment, if any, shall be as later determined as set forth below. The Contractor shall keep accurate, detailed records of all disputed work, claims and other disputed matters.
Section 20104 et seq. of the California Public Contract Code prescribes a process utilizing informal conferences, non-binding judicial-supervised mediation, and judicial arbitration to resolve disputes on construction claims of $375,000 or less. Section 9204 of the Public Contract Code prescribes a process for negotiation and mediation to resolve disputes on construction claims.
The intent of this Section is to implement Sections 20104 et seq. and Section 9204 of the California Public Contract Code. This Section shall be construed to be consistent with said statutes. 01405.0006/857127.1 -25-
For purposes of these procedures, “claim” means a separate demand by the Contractor, after the City has denied Contractor’s timely and duly made request for payment for extra work and/or a time extension, for (A) a time extension, (B) payment of money or damages arising from work done by or on behalf of the Contractor pursuant to the Agreement and payment of which is not otherwise expressly provided for or the Contractor is not otherwise entitled to, or (C) an amount the payment of which is disputed by the City.
The following requirements apply to all claims to which this section applies:
(a) Claim Submittal. The claim shall be in writing and include the documents necessary to substantiate the claim. Claims governed by this procedure must be filed on or before the date of final payment. Nothing in this section is intended to extend the time limit or supersede notice requirements otherwise provided in the Agreement for the filing of claims, including all requirements pertaining to compensation or payment for extra work, disputed work, and/or changed conditions. Failure to follow such contractual requirements shall bar any claims or subsequent lawsuits for compensation or payment thereon. (b) Supporting Documentation. The Contractor shall submit all claims in the following format:
(i) Summary of the claim, including references to the specific Contract Document provisions upon which the claim is based.
(ii) List of documents relating to claim: (a) Specifications, (b) Drawings, (c) Clarifications (Requests for Information), (d) Schedules, and (e) Other. (iii) Chronology of events and correspondence related to the claim. (iv) Statement of grounds for the claim.
(v) Analysis of the claim’s cost, if any.
(vi) Analysis of the claim’s time/schedule impact, if any. (c) City’s Response. Upon receipt of a claim pursuant to this section, City shall conduct a reasonable review of the claim and, within a period not to exceed 45 calendar days, shall provide the Contractor a written statement identifying what portion of the claim is disputed and what portion is undisputed. Any payment due on an undisputed portion of the claim will be processed and made within 60 calendar days after the City issues its written statement. (i) If the City needs approval from the City Council to provide the Contractor a written statement identifying the disputed portion and the undisputed portion of the claim, and the City Council does not meet within the 45 calendar days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the City shall have up to three days following the next duly publicly noticed meeting of the City Council after the 45-day period, or extension, expires to provide the Contractor a written statement identifying the disputed portion and the undisputed portion. 01405.0006/857127.1 -26-
(ii) Within 30 calendar days of receipt of a claim, the City may request in writing additional documentation supporting the claim or relating to defenses or claims the City may have against the Contractor. If additional information is thereafter required, it shall be requested and provided pursuant to this subdivision, upon mutual agreement of City and the Contractor.
(iii) The City’s written response to the claim, as further documented, shall be submitted to the Contractor within 30 calendar days (if the claim is less than $50,000, within 15 calendar days) after receipt of the further documentation, or within a period of time no greater than that taken by the Contractor in producing the additional information or requested documentation, whichever is greater.
(d) Meet and Confer. If the Contractor disputes the City’s written response, or the City fails to respond within the time prescribed, the Contractor may so notify the City, in writing, either within 15 calendar days of receipt of the City’s response or within 15 calendar days of the City’s failure to respond within the time prescribed, respectively, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand, the City shall schedule a meet and confer conference within 30 calendar days for settlement of the dispute.
(e) Mediation. Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the City shall provide the Contractor a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 calendar days after the City issues its written statement.
Any disputed portion of the claim, as identified by the Contractor in writing, shall be submitted to nonbinding mediation, with the City and the Contractor sharing the associated costs equally. The City and Contractor shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing, unless the Parties agree to select a mediator at a later time.
(i) If the Parties cannot agree upon a mediator, each Party shall select a mediator and those mediators shall select a qualified neutral third Party to mediate with regard to the disputed portion of the claim. Each Party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. (ii) For purposes of this section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the Parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section. (iii) Unless otherwise agreed to by the City and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation under Public Contract Code Section 20104.4 to mediate after litigation has been commenced. (iv) All unresolved claims shall be considered jointly in a single mediation, unless a new unrelated claim arises after mediation is completed. 01405.0006/857127.1 -27-
(f) City’s Responses. The City’s failure to respond to a claim from the Contractor within the time periods described in this section or to otherwise meet the time requirements of this section shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the City’s failure to have responded to a claim, or its failure to otherwise meet the time requirements of this section, shall not constitute an adverse finding with regard to the merits of the claim or the responsibility of qualifications of the Contractor. City’s failure to respond shall not waive City’s rights to any subsequent procedures for the resolution of disputed claims.
(g) Government Code Claims. If following the mediation, the claim or any portion remains in dispute, the Contractor must comply with the claim procedures set forth in Government Code section 900 et seq. prior to filing any lawsuit against the City. Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, construction claims, and/or changed conditions, including any required mediation, have been followed by Contractor. If no such Government Code claim is submitted, or if the prerequisite contractual requirements are not satisfied, no action against the City may be filed. A Government Code claim must be filed no earlier than the date that Contractor completes all contractual prerequisites to filing a Government Code claim, including any required mediation. A Government Code claim shall be inclusive of all unresolved claims unless a new unrelated claim arises after the Government Code claim is submitted. For purposes of Government Code section 900 et seq., the running of the period of time within which a claim must be filed shall be tolled from the time the Contractor submits his or her written claim to the City until the time the claim is denied, including any period of time utilized by the meet and confer conference or mediation that does not result in a complete resolutions of all claims.
(h) Civil Actions for Claims of $375,000 or Less. The following procedures are established for all civil actions filed to resolve claims totaling $375,000 or less:
(i) Within 60 calendar days, but no earlier than 30 calendar days, following the filing or responsive pleadings, the court shall submit the matter to non-binding mediation unless waived by mutual stipulation of both Parties or unless mediation was held prior to commencement of the action in accordance with Public Contract Code section 9204 and the procedures in this Section. The mediation process shall provide for the selection within 15 calendar days by both Parties of a disinterested third person as mediator, shall be commenced within 30 calendar days of the submittal, and shall be concluded within 15 calendar days from the commencement of the mediation unless a time requirement is extended upon a good cause showing to the court or by stipulation of both Parties. If the Parties fail to select a mediator within the 15- day period, either Party may petition the court to appoint the mediator. (ii) If the matter remains in dispute, the case shall be submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1141.11 of that code. The Civil Discovery Act (Title 4 (commencing with Section 2016.010) of Part 4 of the Code of Civil Procedure) shall apply to any proceeding brought under this subdivision consistent with the rules pertaining to judicial arbitration.
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(iii) Upon stipulation of the Parties, arbitrators appointed for these purposes shall be experienced in construction law, and, upon stipulation of the Parties, mediators and arbitrators shall be paid necessary and reasonable hourly rates of pay not to exceed their customary rate, and such fees and expenses shall be paid equally by the Parties, except in the case of arbitration where the arbitrator, for good cause, determines a different division. (iv) In addition to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, any Party who after receiving an arbitration award requests a trial de novo but does not obtain a more favorable judgment shall, in addition to payment of costs and fees under that chapter, pay the attorney’s fees of the other Party arising out of the trial de novo.
7.5 Waiver.
Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement.
Acceptance by City of any work or services by Contractor shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver.
Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of noncompliance with any requirement of this Agreement imposes no additional obligations on City nor does it waive any rights hereunder. Payment to Contractor for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Contractor.
7.6 Rights and Remedies Are Cumulative.
Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.
7.7 Unfair Business Practices Claims.
Pursuant to Public Contract Code section 7103.5, in entering into this Agreement, Contractor offers and agrees to assign to the City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials related to this Agreement. This assignment shall be made and become effective at the time the City tenders final payment to the Contractor without further acknowledgment by the Parties.
7.8 Legal Action. In addition to any other rights or remedies, and as consistent with this Agreement and applicable law, either Party may take legal action, in law or in equity, to cure, 01405.0006/857127.1 -29-
correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any contrary provision herein, Contractor shall file a statutory claim pursuant to Government Code sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement.
7.9 Attorneys’ Fees. If either Party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing Party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees. Attorneys’ fees shall include attorneys’ fees on any appeal, and a Party entitled to attorneys’ fees shall be entitled to all other reasonable costs for investigating such action, consultants’ fees, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. Such fees and costs shall be enforceable whether or not such action is prosecuted to judgment.
ARTICLE 8. INDIVIDUAL LIABILITY, CONFLICTS AND NON-DISCRIMINATION
8.1 Non-liability of City Officers and Employees.
No officer or employee of the City shall be personally liable to the Contractor, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.
8.2 Conflict of Interest.
Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Project Manager. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.
City, in its sole discretion, shall determine the existence of a conflict of interest and may terminate this Agreement in the event such a conflict of interest exists upon sending Contractor written notice describing the conflict. No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which affects their financial interest or the financial interest of any corporation, partnership or association in which they are, directly or indirectly, interested, in violation of any State statute or regulation. The Contractor warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement.
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8.3 Covenant Against Discrimination.
Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class in the performance of this Agreement. Contractor shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class.
Contractor shall require the foregoing covenants to be placed in agreements with all subcontractors.
ARTICLE 9. MISCELLANEOUS PROVISIONS
9.1 Provisions Required By Law.
Each and every provision of law and clause required by law to be inserted in this Agreement shall be deemed to be inserted herein, and the Agreement shall be read and enforced as though it were included herein. If through mistake or otherwise any such provision is not inserted, or is not correctly inserted, then upon application of either Party, the contract shall forthwith be physically amended to make such insertion or correction.
9.2 Notices.
Any notice or other communication either Party desires or is required to give to the other Party or any other person in regards to this Agreement must be in writing and may be given either by (i) personal service, (ii) delivery by a reputable document delivery service, such as but not limited to, Federal Express, which provides a receipt showing date and time of delivery, or (iii) mailing in the United States Mail, certified mail, postage prepaid, return receipt requested, in the case of City addressed to the name and title of the Project Manager, at City of Cypress, 5275 Orange Ave Cypress CA 90630, and in the case of Contractor, to the person(s) at the address designated on the execution page of this Agreement. Either Party may change its address by notifying the other Party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section.
9.3 Interpretation.
The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement, headings used, or any other rule of construction which might otherwise apply.
9.4 Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument. 01405.0006/857127.1 -31-
9.5 Integration; Amendment.
This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the Parties as to the Agreement. It is understood that there are no oral agreements between the Parties hereto affecting this Agreement, and this Agreement supersedes and cancels any and all prior and contemporaneous negotiations, arrangements, agreements and understandings, if any, between the Parties, concerning this Agreement, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing, approved by the Contractor and by the City, and consistent with the Cypress Municipal Code. The Parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.
9.6 Severability.
In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the Parties hereunder unless the invalid provision is so material that its invalidity deprives either Party of the basic benefit of their bargain or renders this Agreement meaningless.
9.7 No Undue Influence.
Contractor declares and warrants that no undue influence or pressure was used against or in concert with any officer or employee of City in connection with the award, terms or implementation of this Agreement, including any method of coercion, confidential financial arrangement, or financial inducement. No officer or employee of City has or will receive compensation, directly or indirectly, from Contractor, or from any officer, employee or agent of Contractor, in connection with the award of this Agreement or any work to be conducted as a result of this Agreement. Violation of this Section shall be a material breach of this Agreement entitling City to remedies for default in Section 7.2 and any and all remedies at law or equity.
9.8 Unauthorized Aliens.
Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C. § 1101 et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ such unauthorized aliens for the performance of work and/or services covered by this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys’ fees, incurred by City.
9.9 Corporate Authority.
The persons executing this Agreement on behalf of the Parties hereto warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said Party, (iii) by so executing this Agreement, such Party is formally 01405.0006/857127.1 -32-
bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which said Party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties. [SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.
CITY:
CITY OF CYPRESS, a California municipal
corporation
Leo Medrano, Mayor
ATTEST:
Lisa Berglund, City Clerk
APPROVED AS TO FORM:
ALESHIRE & WYNDER, LLP
Fred Galante, City Attorney
CONSULTANT:
, a
By:
Name:
Title:
By:
Name:
Title:
Address:
Two corporate officer signatures required when Contractor is a corporation, with one signature required from each of the following groups: 1) Chairperson of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. (Cal. Corp. Code § 313.)
APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS,
ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT’S BUSINESS ENTITY.
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
STATE OF CALIFORNIA
COUNTY OF ORANGE
On , 202_ before me, , personally appeared , proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature:
OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
INDIVIDUAL
CORPORATE OFFICER
TITLE OR TYPE OF DOCUMENT
TITLE(S)
PARTNER(S) LIMITED
GENERAL NUMBER OF PAGES
ATTORNEY-IN-FACT
TRUSTEE(S)
GUARDIAN/CONSERVATOR
OTHER DATE OF DOCUMENT
SIGNER IS REPRESENTING:
(NAME OF PERSON(S) OR ENTITY(IES)) SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document.
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
STATE OF CALIFORNIA
COUNTY OF ORANGE
On , 202_ before me, , personally appeared , proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature:
OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
INDIVIDUAL
CORPORATE OFFICER
TITLE OR TYPE OF DOCUMENT
TITLE(S)
PARTNER(S) LIMITED
GENERAL NUMBER OF PAGES
ATTORNEY-IN-FACT
TRUSTEE(S)
GUARDIAN/CONSERVATOR
OTHER DATE OF DOCUMENT
SIGNER IS REPRESENTING:
(NAME OF PERSON(S) OR ENTITY(IES)) SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document.
EXHIBIT A
CONTRACTOR’S BID
SEE ATTACHED
Work Order Signature Document
EZIQC Contract No.: CA-R8-E-101723-AEL
New Work Order
149937.00
Modify an Existing Work Order
Work Order Title:
Work Order Number.: Work Order Date:
X
12/11/2025
Contractor Name:
Contact:
Phone:
Contact:
Phone:
Nate Piorek
(949) 330-3049
Owner Name:
Cypress EV Charging Station Installation
City of Cypress
Raymond Velasco
(714)229-6746
ABM Electrical & Lighting Solutions Inc.
Work to be Performed
Work to be performed as per the Final Detailed Scope of Work Attached and as per the terms and conditions of Sourcewell EZIQC Contract No CA-R8-E-101723-AEL.
Brief Work Order Description:
Installation of EV charging stations.
Liquidated Damages Will apply: Will not apply:
Estimated Completion Date:
Time of Performance Estimated Start Date:
X
Work Order Firm Fixed Price: $126,648.61
Owner Purchase Order Number:
Approvals
City of Cypress Date ABM Electrical & Lighting Solutions Inc. Date
2.00
12/11/2025
Work Order Signature Document
3.00 Detailed Scope of Work
To: Nate Piorek From: Raymond Velasco
ABM Electrical & Lighting Solutions Inc. CALIFORNIA - City of Cypress 14201 Franklin Avenue 5275 Orange Avenue
Tustin, CA 92780 Cypress, CA 90630
(949) 330-3049 (714)229-6746
Work Order Number:
Date Printed: December 11, 2025
149937.00
Work Order Title: Cypress EV Charging Station Installation Brief Scope: Installation of EV charging stations.
Preliminary Revised X Final
The following items detail the scope of work as discussed at the site. All requirements necessary to accomplish the items set forth below shall be considered part of this scope of work.
City of Cypress RE: EV Installation
• Intercept existing electrical power in main electrical room switchboard. • Install (1) 225a main Breaker to supply power to new EV subpanel • Install (1) 225a 120/208 dedicated EV subpanel on the wall of the electrical room • Install (5) 50a 2 pole 120/208 breakers
• Install Conduit and wire to extend new electrical circuits from the subpanel to the new charger locations • Install underground conduit from the edge of the building through the driveway to new EV charger stall locations per attached map
• Form and pour (3) EV charger concrete footings
• Install (2) Chargepoint pedestal dual EV chargers (CPF50-L18-PEDMNT-CMK6-Dual-GW-USA) and (1) Chargepoint pedestal single charger (CPF50-L18-PEDMNT-CMK6-Dual-GW-USA) for a total of (5) charging ports/stalls • Provide (1) yr Chargepoint subscription fee • Provide (1) yr Chargepoint “Assure” Warranty package • Provide start up, programming and commissioning
• Clean all areas where work was conducted and test all fixtures for proper operation. • Provide heavy equipment as needed
• This pricing includes permitting, plans, drawings. Coordinate and perform all inspections with local officials
• See attached map for locations
• Work to be completed 1st shift prevailing wage Orange County Please Note: Sawcut and trench from the edge of building to new EV charger locations, Backfill and patch asphalt as needed for restoration to be completed by customer
Material Lead Time 3-4 weeks Project Scheduling 2 weeks Project duration 3 Weeks Subject to the terms and conditions of EZIQC Contract CA-R8-E-101723-AEL.
12/11/2025
Scope of Work
Detailed Scope of Work Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
ABM Electrical & Lighting Solutions Inc. Date
CALIFORNIA - City of Cypress Date
12/11/2025
Scope of Work
4.00 Contractor's Price Proposal - Summary
Owner PO #:
Cypress EV Charging Station Installation
149937.00
IQC Master Contract #: CA-R8-E-101723-AEL
Work Order #:
Title:
Re:
Date: December 11, 2025
Proposal Value:
Contractor: ABM Electrical & Lighting Solutions Inc.
$126,648.61
Section - 01 $47,354.34
Section - 02 $337.83
Section - 05 $3,102.66
Section - 09 $443.94
Section - 11 $35,178.28
Section - 26 $35,217.17
Section - 31 $1,055.08
Section - 33 $3,959.31
Proposal Total
Thisl total represents the correct total for the proposal. Any discrepancy between line totals, sub-totals and the proposal total is due to rounding.
$126,648.61
The Percentage of NPP on this Proposal: %
12/11/2025
Contractor's Price Proposal - Summary
5.00 Contractor's Price Proposal - Detail
Cypress EV Charging Station Installation
149937.00
IQC Master Contract #: CA-R8-E-101723-AEL
Work Order #:
Owner PO #:
Title:
Re:
Date: December 11, 2025
Proposal Value:
Contractor: ABM Electrical & Lighting Solutions Inc.
$126,648.61
Labor Equip. Material (Excludes)
Sect. Item Mod. UOM Description Line Total
Section - 01
01 22 16 00 0002 Reimbursable FeesReimbursable Fees will be paid to the contractor for eligible costs as directed by Owner. Insert the appropriate quantity to adjust the base cost to the actual Reimbursable Fee. If there are multiple Reimbursable Fees, list each one separately and add a comment in the "note" block to identify the Reimbursable Fee (e.g. sidewalk closure, road cut, various permits, extended warranty, expedited shipping costs, etc.). A copy of each receipt, invoice, or proof of payment shall be submitted with the Price Proposal. 1 EA $2,737.17
Installation x x = 2,737.17
Quantity Unit Price Factor Total
2,488.34 1.00 1.1000
Bonding $124,417.12 x 2% = $2488.34
01 22 20 00 0010 ElectricianFor tasks not included in the Construction Task Catalog® and as directed by owner only.
2 HR $2,037.72
Installation x x = 2,037.72
Quantity Unit Price Factor Total
16.00 129.97 0.9799
Power Shut down and re-energize, 2 men 1 day
01 22 20 00 0010 ElectricianFor tasks not included in the Construction Task Catalog® and as directed by owner only.
3 HR $2,037.72
Installation x x = 2,037.72
Quantity Unit Price Factor Total
16.00 129.97 0.9799
Main Lug Torque per inspector, 2 men 1 day
4 01 22 20 00 0010 0001 For Foreperson, Add $50.95
Installation x x = 50.95
Quantity Unit Price Factor Total
8.00 6.50 0.9799
01 22 20 00 0035 Painter, OrdinaryFor tasks not included in the Construction Task Catalog® and as directed by owner only.
5 HR $2,708.60
Installation x x = 2,708.60
Quantity Unit Price Factor Total
32.00 86.38 0.9799
"EV Fleet Only" Paint, Stripe and Stencil per plans, 2 men 2 days 6 01 22 20 00 0076 HR System Testing Engineer $1,411.06 Installation x x = 1,411.06
Quantity Unit Price Factor Total
16.00 90.00 0.9799
ABM EV Commissioning , 2 men 1 day
01 22 20 00 0086 Senior EngineerFor tasks not included in the Construction Task Catalog® and as directed by owner only.
7 HR $27,292.96
Installation x x = 27,292.96
Quantity Unit Price Factor Total
160.00 174.08 0.9799
Shop drawings (load calculations, structural calculations, single lines) for plan check 01 22 23 00 1601 3 Ton Capacity, 12' To 16' Bed, 4 x 2 Flat Bed Truck With Full-Time Truck Driver
8 WK $10,058.30
Installation x x = 10,058.30
Quantity Unit Price Factor Total
2.00 5,132.31 0.9799
Equipment and material logistics 2 weeks, includes driver deduct
12/11/2025
Contractor's Price Proposal - Detail
Contractor's Price Proposal - Detail Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
Section - 01
9 01 22 23 00 1601 0042 For Equipment Without Operator, Deduct -$980.14 Installation x x = -980.14
Quantity Unit Price Factor Total
0.25 -4,000.99 0.9799
Subtotal for Section - 01 $47,354.34
Section - 02
10 02 41 19 13 0087 EA Drill 4" Diameter Core In Up To 4" Concrete $337.83 Installation x x = 337.83
Quantity Unit Price Factor Total
3.00 114.92 0.9799
Concrete wall pass throughs
Subtotal for Section - 02 $337.83
Section - 05
05 05 19 00 0007 1/4" Diameter x 3-1/4" Length, Zinc Plated Steel, Wedge Anchor Expansion Bolt
11 EA $617.83
Installation x x = 617.83
Quantity Unit Price Factor Total
50.00 12.61 0.9799
Electrical Infrastructure
12 05 05 19 00 0007 0221 For >10 To 50, Deduct -$28.42
Installation x x = -28.42
Quantity Unit Price Factor Total
50.00 -0.58 0.9799
13 05 05 19 00 0079 EA 5/8" Diameter x 5" Length, 316 Stainless Steel, Wedge Anchor Expansion Bolt $558.31 Installation x x = 558.31
Quantity Unit Price Factor Total
12.00 47.48 0.9799
EV Anchors
14 05 05 19 00 0184 EA 3/8" Chemical Adhesive For Bolt, Dowel Or Threaded Rod $198.96 Installation x x = 198.96
Quantity Unit Price Factor Total
12.00 16.92 0.9799
EV Anchors
15 05 43 00 00 0003 LF 1-5/8" Wide x 1-5/8" High, 12 Gauge, Steel Unistrut Channel $1,343.44 Installation x x = 1,343.44
Quantity Unit Price Factor Total
100.00 13.71 0.9799
Electrical Infrastructure
16 05 43 00 00 0035 EA 1/4-20, Steel Lock Nut Without Spring For Unistrut Channel $412.54 Installation x x = 412.54
Quantity Unit Price Factor Total
50.00 8.42 0.9799
Electrical Infrastructure
Subtotal for Section - 05 $3,102.66
Section - 09
17 09 91 33 00 0026 GAL Concrete Enamel Epoxy, 350 SF Per Gallon $443.94 Installation x x = 443.94
Quantity Unit Price Factor Total
5.00 90.61 0.9799
EV Parking Stall Stencil Paint and Strip pre plans
Subtotal for Section - 09 $443.94
Section - 11
12/11/2025
Contractor's Price Proposal - Detail
Contractor's Price Proposal - Detail Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
Section - 11
11 11 36 13 0011 Single Output Gateway Option USA, Bollard Unit, 208/240 Volt At 30 Amperes With Cord Management (ChargePoint CT4011-GW1)
18 EA $6,679.15
Installation x x = 6,679.15
Quantity Unit Price Factor Total
1.00 6,816.15 0.9799
ChargePoint CFP 50 single pedestal Mount
11 11 36 13 0013 Dual Output Gateway Option USA, Bollard Unit, 208/240 Volt At 30 Amperes With Cord Management (ChargePoint CT4021-GW1)
19 EA $19,081.12
Installation x x = 19,081.12
Quantity Unit Price Factor Total
2.00 9,736.26 0.9799
ChargePoint CFP 50 Dual pedestal Mount
11 11 36 13 0019 CT4000 Bollard Concrete Mounting Kit (ChargePoint CT4001-CCM)Includes Bolts: 5/8 - 11 x 9" F1554 Grade 55 hot-dipped galvanized threaded bolts - 3 each. Nuts: 5/8 -Heavy Galvanized Hex Nuts (DH Rated) - 12 each. Washers:
Galvanized Washers (ASTM F436) - 9 each. Plastic Template 20 EA $847.31
Installation x x = 847.31
Quantity Unit Price Factor Total
3.00 288.23 0.9799
EV Infrastructure
11 11 36 13 0022 Initial Station Activation And Configuration Service (ChargePoint
CPSUPPORT-ACTIVE)
21 EA $3,037.89
Installation x x = 3,037.89
Quantity Unit Price Factor Total
5.00 620.04 0.9799
EV Infrastructure, Activation ChargePoint Subscription
11 11 36 13 0023 CT4000-INSTALLVALID is priced per CT4000 station (ChargePoint CT4000-INSTALLVALID)Upon successful Site Validation, your standard first year warranty will be upgraded to Assure
22 EA $5,532.81
Installation x x = 5,532.81
Quantity Unit Price Factor Total
5.00 1,129.26 0.9799
Validation, Year 1 warranty
Subtotal for Section - 11 $35,178.28
Section - 26
26 05 19 16 0025 #10 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 23 MLF $682.76
Installation x x = 682.76
Quantity Unit Price Factor Total
0.50 1,393.52 0.9799
Electrical Infrastructure, Ground Wiring
26 05 19 16 0027 #6 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 24 MLF $4,988.59
Installation x x = 4,988.59
Quantity Unit Price Factor Total
2.00 2,545.46 0.9799
Electrical Infrastructure, EV Circuits
26 05 19 16 0032 1/0 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 25 MLF $363.43
Installation x x = 363.43
Quantity Unit Price Factor Total
0.05 7,417.75 0.9799
Electrical Infrastructure, Subpanel Feeds, Ground
26 05 19 16 0035 4/0 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 26 MLF $2,522.60
Installation x x = 2,522.60
Quantity Unit Price Factor Total
0.20 12,871.74 0.9799
Electrical Infrastructure, Subpanel Feeds
12/11/2025
Contractor's Price Proposal - Detail
Contractor's Price Proposal - Detail Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
Section - 26
26 05 29 00 0122 3" Diameter, Steel, Standard Pipe And Rigid Conduit Clamp For Unistrut Channel
27 EA $261.14
Installation x x = 261.14
Quantity Unit Price Factor Total
25.00 10.66 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 28 26 05 29 00 0228 EA 3", Two Hole Steel Conduit Strap $338.56 Installation x x = 338.56
Quantity Unit Price Factor Total
50.00 6.91 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 29 26 05 29 00 0228 0110 EA For Installation On Concrete (Includes Drilling And Fastener), Add $67.61 Installation x x = 67.61
Quantity Unit Price Factor Total
50.00 1.38 0.9799
30 26 05 29 00 0603 EA 25" x 25", 24" Depth, Polymer Concrete, Box Pad $4,364.25 Installation x x = 4,364.25
Quantity Unit Price Factor Total
3.00 1,484.59 0.9799
EV Footings
31 26 05 33 13 0608 LF 3" Electrical Metallic Tubing (EMT) Conduit $2,148.92 Installation x x = 2,148.92
Quantity Unit Price Factor Total
100.00 21.93 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 32 26 05 33 13 0608 0030 For Installation In Concrete Beam, Slab, etc. (Excludes Concrete), Add $96.52 Installation x x = 96.52
Quantity Unit Price Factor Total
50.00 1.97 0.9799
33 26 05 33 13 0619 EA 3" Electrical Metallic Tubing (EMT) 90 Degree Elbow $452.64 Installation x x = 452.64
Quantity Unit Price Factor Total
8.00 57.74 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 34 26 05 33 13 0630 EA 3" Electrical Metallic Tubing (EMT) 45 Degree Elbow $233.14 Installation x x = 233.14
Quantity Unit Price Factor Total
4.00 59.48 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 35 26 05 33 13 0652 EA 3" Electrical Metallic Tubing (EMT) Compression Coupling $551.14 Installation x x = 551.13
Quantity Unit Price Factor Total
12.00 46.87 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 36 26 05 33 13 0674 EA 3" Electrical Metallic Tubing (EMT) Insulated Bushing $461.18 Installation x x = 461.18
Quantity Unit Price Factor Total
12.00 39.22 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 26 05 33 13 0718 3" Electrical Metallic Tubing (EMT) Insulated Straight Box Compression Connector
37 EA $216.68
Installation x x = 216.68
Quantity Unit Price Factor Total
4.00 55.28 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Conduit 26 05 33 13 1873 1" Schedule 40 Polyvinyl Chloride (PVC) Conduit With Coupled End, Direct Burial
38 LF $939.23
Installation x x = 939.23
Quantity Unit Price Factor Total
150.00 6.39 0.9799
Individual EV Station Underground Conduit Feeds
12/11/2025
Contractor's Price Proposal - Detail
Contractor's Price Proposal - Detail Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
Section - 26
26 05 33 13 1876 2" Schedule 40 Polyvinyl Chloride (PVC) Conduit With Coupled End, Direct Burial
39 LF $1,405.18
Installation x x = 1,405.18
Quantity Unit Price Factor Total
150.00 9.56 0.9799
Main Underground EV Conduit Feeds under driveway, parallel 2" runs 26 05 33 13 1886 1" Schedule 40 Polyvinyl Chloride (PVC) Conduit 90 Degree Elbow, Direct Burial
40 EA $250.70
Installation x x = 250.70
Quantity Unit Price Factor Total
6.00 42.64 0.9799
Individual EV Station Underground Conduit Feeds
26 05 33 13 1889 2" Schedule 40 Polyvinyl Chloride (PVC) Conduit 90 Degree Elbow, Direct Burial
41 EA $251.99
Installation x x = 251.99
Quantity Unit Price Factor Total
4.00 64.29 0.9799
Main Underground EV Conduit Feeds under driveway, parallel 2" runs 42 26 05 33 13 1912 EA 1" Polyvinyl Chloride (PVC) Conduit Female Adapter, Direct Burial $213.42 Installation x x = 213.42
Quantity Unit Price Factor Total
10.00 21.78 0.9799
Individual EV Station Underground Conduit Feeds
43 26 05 33 13 1915 EA 2" Polyvinyl Chloride (PVC) Conduit Female Adapter, Direct Burial $58.85 Installation x x = 58.85
Quantity Unit Price Factor Total
2.00 30.03 0.9799
Main Underground EV Conduit Feeds under driveway, parallel 2" runs 44 26 05 33 13 1925 EA 1" Polyvinyl Chloride (PVC) Conduit Bell End And Plug, Direct Burial $142.81 Installation x x = 142.81
Quantity Unit Price Factor Total
6.00 24.29 0.9799
Individual EV Station Underground Conduit Feeds
45 26 05 33 13 1928 EA 2" Polyvinyl Chloride (PVC) Conduit Bell End And Plug, Direct Burial $75.39 Installation x x = 75.39
Quantity Unit Price Factor Total
2.00 38.47 0.9799
Main Underground EV Conduit Feeds under driveway, parallel 2" runs 46 26 05 33 23 0048 LF 12" x 12", NEMA 1, Surface Mounted Wireway With Screw Cover $1,024.43 Installation x x = 1,024.43
Quantity Unit Price Factor Total
6.00 174.24 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Interior surface mount connection boxes 47 26 05 33 23 0049 LF 12" x 12", NEMA 3R, Surface Mounted Wireway With Screw Cover $573.91 Installation x x = 573.91
Quantity Unit Price Factor Total
2.00 292.84 0.9799
Electrical Infrastructure, Subpanel Feeds, Interior Subpanel and EV Exterior wall exit 48 26 05 83 00 0002 EA #6 AWG Compression Connection, Tape Wrapped Low Voltage, To 600 Volt $1,019.49 Installation x x = 1,019.49
Quantity Unit Price Factor Total
60.00 17.34 0.9799
Underground EV Feed connections
49 26 05 83 00 0028 EA 250 MCM Low Voltage (To 600 Volt) One Hole Compression Lug $427.34 Installation x x = 427.34
Quantity Unit Price Factor Total
3.00 145.37 0.9799
26 24 13 00 0301 125 To 400 Amperes, 600 Volt, Type LBB, 3 Pole, Panel Mounted, Molded Case Circuit Breaker
50 EA $3,263.09
Installation x x = 3,263.09
Quantity Unit Price Factor Total
1.00 3,330.02 0.9799
Subpanel Main Breaker
12/11/2025
Contractor's Price Proposal - Detail
Contractor's Price Proposal - Detail Continues..
Work Order Title:
Work Order Number: 149937.00
Cypress EV Charging Station Installation
Section - 26
26 24 16 00 0083 225 Ampere Rating, 120/208 Volt, 4 Wire, 3 Phase, >100 To 225 Ampere Main Breaker, 54 Circuit Capacity Assembled Panelboard With Forty 20 Ampere Breakers
51 EA $6,350.09
Installation x x = 6,350.09
Quantity Unit Price Factor Total
1.00 6,480.34 0.9799
EV Subpanel
52 26 24 16 00 0083 0195 EA For Door-In-Door (Hinged) Trim Front, Add $271.57 Installation x x = 271.57
Quantity Unit Price Factor Total
1.00 277.14 0.9799
26 28 16 13 0018 3 Pole, 35 To 60 Amperes, 120/240 Volt, Branch Circuit Breaker, 10,000 Amperes Interrupting Capacity
53 EA $1,200.52
Installation x x = 1,200.52
Quantity Unit Price Factor Total
5.00 245.03 0.9799
EV Breakers
Subtotal for Section - 26 $35,217.17
Section - 31
31 23 16 13 0008 Excavation For Trenching By Hand In Loose Rock Or Compacted AggregateIncludes stockpiling excess materials and trimming sides and bottom of trench.
54 CY $1,055.08
Installation x x = 1,055.08
Quantity Unit Price Factor Total
4.00 269.18 0.9799
Misc excavation for EV Footings, vaults and Stub Ups
Subtotal for Section - 31 $1,055.08
Section - 33
55 33 71 19 13 0011 EA 14" x 20" x 12", Electric Pull Boxes, Precast Concrete $3,959.31 Installation x x = 3,959.31
Quantity Unit Price Factor Total
3.00 1,346.84 0.9799
Pull vaults
Subtotal for Section - 33 $3,959.31
Proposal Total
This total represents the correct total for the proposal. Any discrepancy between line totals, sub-totals and the proposal total is due to rounding.
$126,648.61
The Percentage of NPP on this Proposal: %
12/11/2025
Contractor's Price Proposal - Detail
EXHIBIT B
SPECIAL REQUIREMENTS
(Superseding Agreement Template)
01405.0006/857127.1 B-1
Bond No.
EXHIBIT C
FAITHFUL PERFORMANCE BOND
SEE ATTACHED
Bond No.
EXHIBIT D
LABOR AND MATERIALS PAYMENT BOND
SEE ATTACHED
EXHIBIT E
INVOICE FORM
SEE ATTACHED
No. 1
PO No. Date
No.
1 2
3 4
TOTAL INVOICE AMOUNT APPROVED FOR PAYMENT =
Fund Account Amount Program
#DIV/0!
Purchase Order Data
Account No(s): Percent Complete
less Current Invoice Due
Requested by (signature and title) - Contractor Checked by Public Works Inspector Project Manager Public Works Inspector
Recommended by Project Manager Approved by City Engineer Payment Information
Remaining Contract Balance = $ -
$ -
Invoice No. Period Start Period End Date
Less 5% Retainage =
Sub-Total =
$ - $ - $ -
$ - $ -
Contract Completion Data Contract Cost Data
$ -
Net Earning =
Contractor
Plus 65% of Invoice Amount for Materials Delivered - $ - $ - $ Less Adjustment for Previous Materials Invoices $ - $ - $ - $ -
$ -
$ -
Net Payment (this estimate) =
Previous
Amounts
Original Contract Amount
Contract Completion Date
Less Previous Payments =
$ - - $
Approved Time Extensions
Original Contract Duration
Notice to Proceed Date
City of Cypress, Public Works Department
MONTHLY PAYMENT ESTIMATE SUMMARY FORM
City of Cypress City of Cypress
CIP No.
To Date
Project Title
Address
Total Earning for Work and Materials Installed $ - $ - $ - This Estimate
less Previous Payments/Billed $ -
Description
$ -
$ -
$ -
Total Contract Amount =
Approved Change Orders
Progress Payment
Final Payment
Period End
No. 1
Quant. Unit Unit Price Item Total Quant. Earnings Quant. Earnings Quant. Earnings 1 $ - - - $ - - $ - - $ 2 $ - - - $ - - $ - - $ 3 $ - - - $ - - $ - - $ 4 $ - - - $ - - $ - - $ 5 $ - - - $ - - $ - - $ 6 $ - - - $ - - $ - - $ 7 $ - - - $ - - $ - - $ 8 $ - - - $ - - $ - - $ 9 $ - - - $ - - $ - - $ 10 $ - - - $ - - $ - - $
11 $ - - - $ - - $ - - $
12 $ - - - $ - - $ - - $ 13 $ - - - $ - - $ - - $ 14 $ - - - $ - - $ - - $ 15 $ - - - $ - - $ - - $ 16 $ - - - $ - - $ - - $ 17 $ - - - $ - - $ - - $ $ -
CO 1 $ - - $ - $
CO 2CO 3
$ -$ -
TOTAL =
Requested by (signature and title) - Contractor Checked by Public Works InspectorProject Manager Public Works Inspector Invoice No. Period Start Date
Original Contract =
$ - $ -
Total Contract Amount =
Approved CO Total =
Contractor
Item
No
Contract Previous Estimate This Estimate Pay Item
MONTHLY PAYMENT ESTIMATE FORMCity of Cypress, Public Works Department Payment Information
To Date
Project Title CIP No.
Progress PaymentFinal Payment
Period End
No. 1
Quant. Unit Unit Price Material Total Quant. Earnings Quant. Earnings Quant. Earnings 123456789
1011121314151617181920
TOTAL =
Requested by (signature and title) - Contractor Checked by Public Works Inspector Project Manager Public Works Inspector
MATERIALS ESTIMATE FORMCity of Cypress, Public Works Department Invoice No. Period Start Payment Information Date
To Date
Contractor Project Title CIP No.
Item This Estimate
No Pay Item / Storage Location Material Value Previous Estimate Progress PaymentFinal Payment
AGREEMENT TO
MODIFY AND EXTEND
SOURCEWELL CONTRACT #CA-R8-E-101723-AEL
THIS AGREEMENT TO MODIFY AND EXTEND, Sourcewell Contract #CA-R8-E-101723-AEL is effective upon the date of the last signature below.
Sourcewell and ABM Electrical and Lighting Solutions (“Contractor”) have entered into an Indefinite Quantity Construction Contract, Contract Number CA-R8-E-101723-AEL with an initial term ending December 5, 2024, and five bilateral options to extend for an additional one-year term (“Contract”). This contract has previously been extended by the parties for the term ending December 5, 2025. The parties agree to modify and extend the Contract as stated below.
CONTRACT MODIFICATION
The updated CTC will appear in the eGordian software upon receipt of the executed extension document.
Pursuant to the Contract, Contractor’s Adjustment Factors remain fixed for the duration of the contract term and are unaffected by this modification.
EXERCISE OF OPTION: EXTENSION
Contractor and Sourcewell hereby desire and agree to extend the Contract, with the above modification, for the period of December 6, 2025 through December 5, 2026.
Sourcewell ABM Electrical and Lighting Solutions
By: __________________________ By: __________________________ Jeremy Schwartz Chan Onechanh
Title: Chief Procurement Officer Title: Sr. General Manager Date: Date:
Docusign Envelope ID: A29FBB35-8EFC-4B88-A037-16EBC63FEE5E 10/29/2025 | 12:13 PM CDT 10/29/2025 | 3:06 PM CDT
AGREEMENT TO
MODIFY AND EXTEND
SOURCEWELL CONTRACT #CA-R8-E-101723-AEL
THIS AGREEMENT TO MODIFY AND EXTEND, Sourcewell Contract #CA-R8-E-101723-AEL, is effective upon the date of the last signature below.
Sourcewell and ABM Electrical and Lighting Solutions (“Contractor”) have entered into an Indefinite Delivery-Indefinite Quantity Construction Contract, Contract Number CA-R8-E-101723-AEL, with an initial term ending December 5, 2024, and five bilateral options to extend for an additional one-year term (“Contract”). The parties agree to modify and extend the Contract as stated below.
CONTRACT MODIFICATION
The following is adopted as the new CTC for the Contract effective December 6, 2024:
Sourcewell California - Region 8
Pursuant to the Contract, Contractor’s Adjustment Factors remain fixed for the duration of the contract term and are unaffected by this modification.
EXERCISE OF OPTION: EXTENSION
Contractor and Sourcewell hereby desire and agree to extend the Contract, with the above modification, for the period of December 6, 2024 through December 5, 2025.
Sourcewell ABM Electrical and Lighting Solutions
By: __________________________ By: __________________________ Jeremy Schwartz Chan Onechanh
Title: Chief Procurement Officer Title: Sr. General Manager Date: Date:
Docusign Envelope ID: 63C5B10C-6C06-49F9-8ACA-FC9087C9EC8B 11/13/2024 | 5:52 PM CST 11/12/2024 | 5:27 PM CST
Rev. 4/2021 Sourcewell IFB #CA-101723
Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California
Indefinite Delivery-Indefinite Quantity Construction Contract Contract Number: CA-R8-E-101723-AEL
Service Type: Electrical
This Indefinite Delivery-Indefinite Quantity Construction Contract (Contract) is between Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 and ABM Electrical and Lighting Solutions, 14201 Franklin Ave, Tustin, CA 92780 (Contractor).
Sourcewell is a State of Minnesota local government agency and service cooperative created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to government entities. Participation is open to federal, state and municipal governmental entities, K-12 and higher education entities, nonprofit entities, tribal governments, and other public entities located within the United States.
The Contractor desires to contract with Sourcewell to provide construction services to entities that access Sourcewell’s indefinite delivery-indefinite quantity (IDIQ) construction contracts within the Service Region.
I. TERM OF CONTRACT
A. EFFECTIVE DATE. This Contract, including the General Terms and Conditions incorporated by reference, is effective upon the later of December 6, 2023 or the date of the final signature below.
B. EXPIRATION DATE AND EXTENSION. This Contract expires December 5, 2024, unless it is terminated sooner pursuant to Article XX of the General Terms and Conditions, which are incorporated into this Contract by reference. This Contract allows up to five additional one-year extensions upon the request of Sourcewell and written agreement with Contractor. Sourcewell retains the right to consider additional extensions beyond six years as required under exceptional circumstances.
II. REGION AND SERVICES
The Contractor’s Region is: Region 8. The Contractor’s IDIQ construction service type is: Electrical. The Contractor has agreed to perform work outside the Region.
III. ADJUSTMENT FACTORS
The Contractor will perform any or all Tasks in the Construction Task Catalog for the Unit Price appearing therein multiplied by the following Adjustment Factors. See the General Terms and Conditions for additional information.
A. Normal Working Hours – Prevailing Wage Rate Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 0.9799.
Rev. 4/2021 Sourcewell IFB #CA-101723
Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California
B. Other Than Normal Working Hours – Prevailing Wage Rate Projects: Work performed from 4:00 p.m. to 7:00 a.m. Monday to Friday, and any time Saturday, Sunday and Holidays. The Contractor will perform Tasks during Other Than Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.0525.
C. Secured Facilities/OSHPD Prevailing - Wage Rate Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.0616.
D. All Union Wage Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 0.9799.
E. Non pre-priced Adjustment Factor: To be applied to Work determined not to be included in the CTC but within the general scope of the work: 1.1251.
VI. AUTHORIZED REPRESENTATIVE
A. Sourcewell's Authorized Representative is its Chief Procurement Officer.
B. The Contractor’s Authorized Representative is Chan Onechanh. If the Contractor’s Authorized Representative changes at any time during this Contract, Contractor must promptly notify Sourcewell in writing.
Sourcewell ABM Electrical and Lighting Solutions
By: __________________________ By: __________________________ Jeremy Schwartz Chan Onechanh
Title: Chief Procurement Officer Title: Sr. General Manager Date: Date: